Fed Cut Doesn’t Scare Bitcoin, Which Holds Its Ground—Investor

From Nov. 24 to Dec. 2, 2025, JPMorgan launched leveraged notes tied to BlackRock’s Bitcoin ETF, Vanguard reversed its crypto ban, and Nasdaq quadrupled IBIT options limits. Three moves in nine days created one outcome: Bitcoin’s absorption into traditional finance and institutions.

Analyst Shanaka Anslem Perera describes that this rapid convergence marked a foundational change in how institutional capital accesses digital assets. Leading banks and asset managers expanded crypto offerings, distribution channels, and regulatory frameworks, redefining Bitcoin’s role in global finance.

The November Convergence: Coordinated Infrastructure Expansion

Traditional finance long observed Bitcoin from a distance. By late 2025, however, digital asset infrastructure reached a tipping point. The transformation began with SEC approval of spot Bitcoin ETFs in January 2024, offering a regulated path for institutional investment.

JPMorgan’s Nov. 24 filing detailed leveraged structured notes providing up to 1.5x returns on BlackRock’s iShares Bitcoin Trust ETF through 2028. These securities targeted sophisticated investors seeking amplified exposure while retaining legal protections. Notably, the notes exposed investors to significant downside, risking principal loss if IBIT declined by roughly 40 percent or more.

That same week, Nasdaq announced on Nov. 26 that it would raise IBIT options position limits from 250,000 to 1,000,000 contracts. This acknowledged the growth in both market capitalization and volume, supporting the need for volatility-hedged products for institutional portfolios. As Perera’s structural analysis noted, broader options infrastructure allowed institutions to manage Bitcoin volatility, aligning digital assets with standard risk controls.

On Dec. 2, Vanguard completed the picture. The world’s second-largest asset manager reversed its long-standing opposition and opened Bitcoin and crypto ETFs to clients holding around $11 trillion in assets. Vanguard’s move, made during a market correction, signaled strategic timing rather than speculative chasing.

Retail Capitulation Meets Institutions’ Allocation

This turning point coincided with a wave of retail exits. Bitcoin ETF redemptions soared as individual investors sold amid price drops. Meanwhile, institutional capital took the other side. Abu Dhabi Investment Council and similar sovereign entities increased their Bitcoin allocations as retail sentiment reversed.

Bank of America authorized 15,000 financial advisers to allocate Bitcoin to wealth clients starting Jan. 5, 2026. Advisers recommended a 1 to 4 percent exposure for clients able to stomach volatility, highlighting four ETFs: the Bitwise Bitcoin ETF, the Fidelity Wise Origin Bitcoin Fund, the Grayscale Bitcoin Mini Trust, and the BlackRock iShares Bitcoin Trust. This guidance marked a significant shift for an institution with $2.67 trillion in assets across more than 3,600 branches.

Similarly, BlackRock recommended allocating up to 2 percent of portfolios to Bitcoin, citing risk levels comparable to those of the “Magnificent 7” technology stocks. The unified approach across institutions suggested coordinated messaging, if not formal cooperation. Advisers received consistent direction on allocations, risk communication, and client selection from competing firms.

Goldman Sachs took a different approach by acquiring Innovator Capital Management for about $2 billion. This gave Goldman instant distribution and compliance pathways for crypto products, saving years of internal development and providing an established network.

MSCI Index Exclusion: Eliminating Competing Models

While financial institutions expanded ETF infrastructure, other models faced obstacles. On Oct. 10, 2025, MSCI announced a consultation to exclude firms with substantial digital asset treasury holdings from major indices. The preliminary list included Strategy Inc., Metaplanet, and similar companies that pioneered corporate treasury Bitcoin adoption.

The proposal targeted companies in which Bitcoin or other digital assets accounted for an outsized share of the balance sheet. Removal from the MSCI Global Investable Market Indices would force these firms out of passive investment funds and major benchmark-tracking ETFs. The consultation is open until Dec. 31, 2025, with final decisions coming by Jan. 15, 2026.

The timing was notable. Strategy Inc., for example, attracted those wanting Bitcoin exposure without financial intermediaries or ETF fees. But, as MSCI proposed exclusion, major banks introduced new fee-generating ETF options. This created pressure on alternative exposure approaches.

Regulatory clarity accelerated institutional adoption through 2025. Laws such as the GENIUS Act and related orders defined the treatment of digital assets and reduced legal risks for large financial firms. These rules aligned digital assets with existing securities compliance, encouraging institutional entry.

Fee-Based Capture and the End of Alternative Exposure

The nine-day convergence was about more than new products. It firmly established Bitcoin as a fee-earning asset class for traditional finance. Leveraged notes, options, and ETF allocations each bring recurring revenue, while direct treasury and self-custody models now face obstacles such as index exclusions and higher regulatory requirements.

With expanded options, institutions can now manage volatility, making Bitcoin suitable for risk-parity portfolios and mandates with strict limits. The infrastructure shift means Bitcoin now acts as a portfolio component, not just a speculative asset. Yet, this shifts price discovery to derivatives, not spot trading.

The institutional system mirrors other asset classes. Allocations and risk disclosures are harmonized. Licensed advisers guide clients, and products feature standardized fees and messaging. Bitcoin, initially meant to circumvent the system, is now absorbed into the very architecture it once challenged.

XRP is testing a key inflection zone above $2.00 as two independent frameworks from crypto analysts Dom (@traderview2) and Osemka (@Osemka8) converge on a potential reversal – with clearly defined levels at roughly $2.00, $2.22 and $2.50 marking the battlefield.

XRP Price Consolidation Nears Its End

On the higher-timeframe 2-day chart, Osemka frames the structure as a classic flat correction built on top of the 2021 high. “Here’s the range and levels to help you navigate it. We’re basing on top of 2021 high,” he writes, adding that “we’ve also never broken down after going sideways for this long, so I remain with my view of this being an accumulation range and a flat correction.”

His chart shows XRP oscillating in a horizontal band whose floor aligns with the 2021 high, labeled as a “Reaccumulation” area. Price has repeatedly tagged this support and bounced, while midrange resistance in the low-to-mid $2 zone has capped multiple rallies. Above, a higher horizontal line marks the January spike, which Osemka treats as the cycle top.

Internally, he maps an A–B–C corrective sequence. The B leg forms a dotted ascending channel, labeled as a 3-legged “abc” wave. “That dotted ascending range in the middle (3 legged abc wave in B) has me optimistic as that is a corrective move that is synonymous for a flat correction,” he explains. “Meaning the top was in January and this indeed is only a sideways correction.” The current C leg is contained within a downward “Corrective channel” pointing back toward the lower band.

For Osemka, even a deeper test of support would not necessarily be bearish for the larger structure: “If we end up taking the lower end of the range with C leg it’ll remain to be seen. But if so, it’d be a great buying opportunity.” He also calls XRP “a perfect example on why I view BTC also as a flat correction with the top in January,” arguing that “while Bitcoin is messy, XRP is very clean.”

Why Its Now Or Never For XRP

Dom zooms in on the last six weeks of that broader range and focuses on the microstructure that could trigger a move back toward the upper band. “If you inverse the chart over the last 6 weeks, you’ll see a perfect 3 drive pattern, a very accurate reversal setup in crypto,” he writes. On the non-inverted chart, this corresponds to three downside pushes that fail to extend lower, followed by what he calls a higher low: “We can see a HL has finally formed which can hint at the first sign of a trend change developing.”

His 8-hour chart highlights the monthly rolling VWAP as the key pivot. “Bulls needs to regain the monthly rVWAP around $2.22 and that would be the shift for a rally back towards ~$2.50,” Dom says. That ~$2.50 area aligns with higher VWAP clusters and the upper portion of Osemka’s range.

Order-book and skew data back his view that conditions are ripe for a break if buyers step in. “Orderbooks are clear, if there was a time, it’s now for this trend to shift,” he notes, pointing to relatively clean liquidity overhead and a recovering skew after a washed-out short side.

The downside is equally explicit: “If this setup fails, acceptance under $2 is next and the end of year is ugly.” That would mean a decisive loss of the long-defended support band built on the 2021 high and a deeper completion of the C leg in Osemka’s flat-correction structure.

For now, XRP remains compressed between the $2.00 support, the $2.22 monthly rVWAP trigger and the ~$2.50 upside magnet, with the six-week 3-drive pattern and flat-correction range jointly defining one of the clearest technical inflection points on the XRP chart this year.

At press time, XRP traded at $2.1798.

The last two months have seen a major reset in the XRP open interest, coinciding with the widespread sell-offs that have rocked the market. Looking at past performances, historical data suggests that this open interest reset could be a major break for the altcoin. As prices begin to see some recovery, the reset could present the perfect opportunity for bulls to reclaim complete control of the XRP price and drive it toward higher levels.

How Far Has The XRP Open Interest Crashed?

To know the scale of this reset, it is important to look at the XRP open interest numbers over the last few months. Data from Coinglass shows that back in July, the XRP open interest hit a new all-time high of $10.9 billion as market participation surged to levels not seen before.

Coincidentally, this rise to new all-time highs coincided with the XRP open interest coming out of another period of reset, eventually leading the XRP price to reach new seven-year peaks. However, it wasn’t long until the bears came knocking once again, and the open interest tumbled as the price fell.

For perspective, the open interest is the total of all XRP futures or option contracts. Effectively, this is a reflection of participation and the number of bets that traders are making on the cryptocurrency. Thus, the higher the open interest, the higher the amount of money invested in XRP derivatives, and vice versa.

Presently, the open interest is sitting at a low $3.75 billion, representing an over 65% crash from its $10.94 billion peak. But this crash could be the reset that the altcoin needs for another recovery, especially as liquidity begins to flow back into the market on account of the US Federal Reserve putting an end to quantitative tightening.

Can The Price Surge To New All-Time Highs?

Earlier in the year, when the XRP open interest had crashed from its January all-time highs, the reset ended up resulting in higher prices. Although the XRP price didn’t break its 2018 record, it came close in July. However, going by this trend, the altcoin could have a while longer to go before there is a surge.

Following the crash in January, the XRP open interest had remained low for the next five months, with the price showing muted performance alongside it. With only two months since its last peak, the XRP open interest could trend low for a while longer before breaking out. However, if the trend holds, then the resulting rally would push the price above $3 once again.

Ethereum’s second major upgrade of the year, Fusaka, has gone live, bringing forward supercharged data capacity, reduced transaction costs and enhanced usability.

The upgrade officially went live on the Ethereum mainnet at 9:49 pm UTC on Wednesday at Epoch 411392, with the headline feature being peer data availability sampling (PeerDAS), which provides significant scaling capabilities to Ethereum and layer 2s.

Earlier this week, the Ethereum Foundation posted a detailed thread via the Ethereum X account, breaking down what it means for users, developers, node operators, Layer-2s and rollups, and enterprises. 

The Ethereum Foundation stated that Fusaka brings Ethereum a step closer to providing “near-instant transactions,” with the increased speed resulting in a more seamless user experience.

In terms of L2s and rollups, Fusaka will “unlock up to 8x data throughput” via PeerDAS, it added, as it creates a significantly more efficient way to process information on the network. 

In layman’s terms, PeerDAS fragments entire blobs of rollup data into smaller cells. This results in nodes having to download and upload significantly less data, enabling them to process information faster, and enabling L2s to interact with the Ethereum mainnet more efficiently. 

“For rollups, this means cheaper blob fees and more space to grow (plus lower fees for users). All while keeping the network decentralized,” the Ethereum Foundation stated. 

Analysts speculate Fusaka could fuel ETH revival

Given the host of under-the-hood enhancements Fusaka will provide, the market is anticipating how the price of Ether (ETH) will react. 

In an X post on Sunday, MerlijnTrader highlighted to their 404,700 followers the impact Ethereum’s previous upgrade Pectra had on ETH, tipping the price to gain even more this time around. 

“Pectra triggered a +58% move. Fusaka is built to launch harder. Price lags fundamentals. But not for long.”

On Nov. 29, Bitcoin OG @LLuciano_BTC echoed similar sentiments to his 2 million X followers. 

“Fusaka feels even bigger, the kind of catalyst that sparks real upside,” he said, adding that “Ethereum finally shows how far scaling can go while staying true to its design.”

Magazine: Ethereum’s Fusaka fork explained for dummies: What the hell is PeerDAS?

Since the emergence of the first XRP ETF in November, the ecosystem has remained in the spotlight with strong daily inflows and surging trading activities.

While the ecosystem has recorded another day of high combined trading volume amid surging institutional demands, Bitwise has taken the lead this time with the highest trading volume recorded today.

According to recent data shared by renowned media personnel, Chad Steingraber, Bitwise’s XRP ETF has secured the top spot in daily trading volume, contributing majorly to the recorded $19 million in combined trading activity across all XRP ETFs.

Bitwise leads with $5.07 million in volume 

According to data provided by Chad, Bitwise alone has generated $5.07 million in volume since trading began today.

During the early intraday trading session, the fund outpaced Franklin Templeton’s $4.43 million, Canary Capital’s $2.82 million, REX–Osprey’s $1.85 million, and Grayscale’s $1.32 million.

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At the time, the combined trading volume achieved across all XRP ETFs reached an impressive $15.48 million. While it has now increased to a massive $19 million, Bitwise still maintains its position as the fund with the highest trading volume for today.

XRP ETFs near $1 billion milestone 

While the strong performance spans across all existing XRP funds, it has come as XRP ETFs collectively approach the $1 billion milestone in assets under management.

With the combined AUM currently sitting at $909.74 million across five products as of Wednesday, December 3, it appears that the XRP ETFs are not far from collectively smashing the massive $1 billion milestone in just about two weeks of launch.

According to the source, the rapid surge in the combined AUM volume has seen about 400.01 million XRP held in ETF vaults.

While these strong performances have continued to garner hype and build bullish momentum for XRP, the leading altcoin has shown massive daily gains over the last day, reclaiming the $2.22 level after multiple days of severe correction.

Ethereum has successfully activated the Fusaka upgrade on mainnet, marking its second major network enhancement in 2025.

With PeerDAS now live, ETH has surged past the critical $3,200 resistance zone, and traders are watching whether the rally can sustain and even extend further.

Fusaka Goes Live

Ethereum confirmed the Fusaka mainnet activation on December 3 at 22:04 UTC. The upgrade introduces PeerDAS technology, which unlocks up to 8x data throughput for rollups, raises the gas limit from 45 million to 60 million units, and adds R1 curve support for improved user experience. Currently, Ethereum processes between 1.3 and 1.8 million transactions daily and holds over $73 billion in value locked in DeFi.

For L2 and Layer 2 rollups, Fusaka is even more relevant. PeerDAS increases the available space for blobs and prepares gradual capacity increases in future forks focused solely on data. The goal is clear: to maintain very low fees on networks like Arbitrum, Base, or Optimism, even if demand continues to grow.

Community members will monitor the network for issues over the next 24 hours.

ETH Breaks $3,200 Resistance

ETH is trading at $3,231, up 7.38% over the last 24 hours. The price has cleared the $3,154-$3,200 supply cluster that marked strong resistance, a move that traders see as a bullish signal.

The pattern echoes the pre-Pectra phase in May 2025, when Ethereum surged 56% in just seven days following that upgrade. Technical charts show a classic bullish divergence: while price marked a lower low between November 4 and December 1, RSI printed a higher low—a setup that often signals weakening selling pressure.

On-chain data supports the bullish case. Addresses holding at least $1 million in ETH have increased from 13,322 to 13,945, representing roughly $623 million in additional accumulation by large holders.

Key Levels to Watch

With the $3,200 zone now cleared, the next target sits at $3,653. If the rally extends 56% from Pectra, a move toward $4,262 comes into view.

On the downside, $3,200 now serves as the first support to hold. A break below $2,996 would weaken the bullish structure, exposing $2,873 and potentially $2,618.

For now, sustaining above $3,200 will determine whether Fusaka marks the beginning of a new bullish phase.