Bitcoin Starts December With Worst Drop in 4 Years

Bitcoin has kicked off December with a sharp drop, opening the month down 4.85%. This negative start is well below the average returns typically seen in December, a month historically known for more bullish performance in the crypto market.

This early slump positions December 2025 as the worst start to the month in the last four years. Traders and analysts are closely watching this development, wondering if the trend will continue or if Bitcoin will bounce back mid-month.

Why This December Is Different

In previous years, Bitcoin often saw positive momentum in December, partly due to year-end trading and institutional interest. However, this time around, a mix of macroeconomic uncertainty, shifting investor sentiment, and tightening regulations may be playing a role in the early dip.

It’s also worth noting that the broader crypto market has shown signs of caution lately. Altcoins are also experiencing sluggish movement, and overall market volume is down compared to earlier in the quarter. The crypto fear and greed index has also tilted more toward “neutral” from “greed” last month, signaling increased hesitation among retail and institutional investors alike.

What Comes Next for BTC?

While it’s too early to call the final monthly performance, the poor start adds pressure on bulls to recover ground before year-end. Analysts advise keeping an eye on major support levels around $37,000–$38,000 and watching for signals from the U.S. Federal Reserve and other economic events that could impact investor appetite for risk assets like Bitcoin.

Despite the rocky start, Bitcoin’s long-term fundamentals remain strong, and a sharp reversal is never out of the question in such a volatile market.