01 Market Under Pressure
At the start of this week, a cautious mood settled over global financial markets.
All three major U.S. stock index futures fell on Monday, with S&P 500 futures and Nasdaq 100 futures each down 0.1%.
Meanwhile, the cryptocurrency market faced another round of heavy losses. Bitcoin briefly dropped below the $90,000 mark, falling more than 27% from its all-time high and nearly erasing all gains made this year.
This synchronized downturn is no coincidence—it reflects investors’ cautious attitude in the face of multiple uncertainties.
02 Digital Asset Selloff
Bitcoin’s decline has been both sharp and swift.
As of November 18, the price of Bitcoin had fallen to $91,300, a drop of more than 3% for the day. During trading, it even dipped to an intraday low of $90,684, wiping out all gains made since the start of the year.
Ethereum wasn’t spared either, closing at $3,014—a single-day loss of 2.6%.
Such extreme volatility has injected a sense of panic throughout the entire crypto sector.
According to the Crypto Fear & Greed Index, the gauge plummeted to a yearly low of 15 on November 13, signaling that the market has entered a state of "extreme fear."
Looking back, the last time the index fell below 20 was on February 27. Over the following month, Bitcoin’s price dropped 25% to $75,000. This precedent has current market participants concerned that a similar correction could happen again.
A report from market sentiment analytics platform Santiment also confirms a sharp rise in negative discussions around Bitcoin, Ethereum, and XRP. Community sentiment is now far below normal levels.
03 Traditional Markets Move in Tandem
The weakness isn’t limited to crypto—traditional financial markets are also showing signs of strain.
On November 17, the Dow Jones Industrial Average fell 1.18%, the S&P 500 dropped 0.92%, and the Nasdaq Composite lost 0.84%.
More notably, both the S&P 500 and Nasdaq indices broke below their 50-day moving averages for the first time in 138 trading days.
The tech-heavy Philadelphia Semiconductor Index also slid 1.55%, reflecting selling pressure on AI and semiconductor stocks.
Major Wall Street hedge funds reduced their exposure to the "Magnificent Seven" stocks in the third quarter, including Nvidia, Amazon, Alphabet, and Meta.
This shift suggests institutional investors are pulling some capital out of the large-cap tech stocks that have previously driven market gains.
04 Key Catalysts
Among this week’s market events, Nvidia’s quarterly earnings report is undoubtedly the main focus.
Nvidia is set to release its fiscal Q3 2026 earnings report on November 19. Wall Street analysts expect earnings per share of $1.25, up 54.3% year-over-year, with revenue projected at $54.9 billion, a 56.4% increase.
Dennis Follmer, Chief Investment Officer at Montis Financial, commented: "A strong earnings report with higher guidance from Nvidia shouldn’t surprise anyone, but it could intensify concerns about what appears to be an unlimited AI capital budget."
Nvidia’s earnings aren’t just about one chip company—they’ve become a bellwether for the entire tech industry.
Anita Gupta, CIO at Wealthbrix Capital Partners, believes Nvidia’s upcoming earnings are the next major catalyst for global equity markets.
She points out that tech giants plan to spend nearly $500 billion in capital expenditures by 2026, with data center spending estimated to reach $7 trillion by 2030. Nvidia sits at the center of this investment cycle.
05 Macro Concerns
Beyond Nvidia’s results, the Federal Reserve’s monetary policy moves are also weighing on markets.
Traders are rapidly adjusting their expectations for a Fed rate cut next month. According to the CME FedWatch tool, the probability that the Federal Open Market Committee will keep its benchmark rate unchanged at the December meeting is 57%, while the odds of a 25-basis-point cut stand at 43%.
Fed Vice Chair Philip Jefferson recently stated that, due to risks related to employment and inflation, the pace of rate cuts should slow. This echoes Chair Powell’s earlier analogy of "driving in the fog" to describe the current situation.
Gupta believes that while consumer confidence has softened recently, any drag on GDP will be short-lived.
She expects a rebound in Q1 2026 and emphasizes that "the trend of slowing inflation into 2026 remains intact." Even if the Fed doesn’t cut rates in December and market sentiment takes a hit, she remains confident that the overall interest rate trajectory will turn downward.
06 Shifts in Market Structure
In the Bitcoin derivatives market, demand for downside protection has surged.
Data shows that over $740 million in put options have been purchased, with strike prices concentrated at $90,000, $85,000, and $80,000. This volume far exceeds that of call options, indicating a bearish outlook for Bitcoin’s short-term price action.
Meanwhile, a report from crypto exchange Gate shows that despite heightened market volatility, trading activity on the platform has grown significantly in recent weeks.
During the four-week period ending August 30, 2025, Gate’s comparable trading volume rose 12.2%, with total trading volume reaching $119.2 billion—a 13.4% year-over-year increase.
This suggests that rising volatility is actually fueling more active trading.
07 Investor Strategies
Given the current market environment, several analysts advise investors to remain patient rather than panic sell.
Sentiment analytics platform Santiment interprets today’s extreme negativity as a potential bullish signal.
Their report states: "When the crowd turns negative on an asset—especially the leading assets in the crypto market—it signals we’re nearing a capitulation point. Once retail investors sell, key holders step in to accumulate the tokens and drive prices higher."
Analyst Joe Consorti notes that Bitcoin market sentiment is as bleak as it was during the February–April correction. As weak hands are flushed out, a local bottom is forming. "Patience is a virtue."
Historical data shows that the strategy of "buying in fear, selling in greed" has worked well for Bitcoin investors over the years.
However, most retail investors still lose money, either due to excessive leverage or a lack of patience to weather prolonged periods of extreme fear.
08 Outlook
Looking ahead, Nvidia’s guidance this Wednesday will be a key market driver.
Stephen Callahan, behavioral analyst at Firstrade Securities, says: "While many expect Nvidia to beat these estimates, I agree with current market expectations."
He further notes that Nvidia’s Blackwell chips could see strong demand, especially as AI infrastructure spending in data centers continues to grow.
Still, risks remain. "Tense trade relations between the U.S. and China pose potential risks for the company," he warns, "including the possibility of stricter regulations impacting sales."
In the crypto market, Milk Road’s Kyle Reidhead takes a more cautious stance, suggesting that current negative sentiment could push Bitcoin down into the $90,000 range before a strong rebound occurs.
Looking Ahead
As the market awaits clarity from Nvidia’s earnings and the Fed’s policy signals, volatility is likely to remain elevated.
Investors should brace themselves for a bumpy road ahead—stay calm during extreme fear, and remain vigilant when greed takes over.
Whether in equities or crypto, short-term sentiment swings will ultimately give way to long-term value reassessment. Navigating this process requires patience and discipline.
