The market finally has some life again. After two chaotic weeks where Bitcoin ripped above $105k, then collapsed to $82k, the BTC price has now pushed back through $90k and dragged the entire market with it.
The Ethereum price is also recovering, up more than 3% today after the Royal Government of Bhutan staked 320 ETH through Figment. As all of this plays out, the total crypto market cap has climbed more than 4%, now sitting near $3.11 trillion.
Several major catalysts across ETFs, derivatives, regulation, and macro conditions all lined up at once. And together, they’re giving the market the first real bounce it has had in days. Here’s what’s driving today’s recovery.
ETF Inflows Are Finally Returning
One of the biggest reasons the market is moving again is because ETF inflows finally returned. After weeks of heavy outflows, Bitcoin and Ethereum ETFs just posted two straight days of positive numbers, almost $150 million into BTC funds and another $139 million into ETH.
BlackRock pulled in most of it, which always boosts confidence. This shift matters because more than $4.3 billion left ETFs over the past month, so seeing money flow back in immediately takes pressure off the market.
It also fits with JPMorgan’s long-term view that the Bitcoin price could push far higher once liquidity improves, and traders now have their eyes on the SEC’s upcoming meeting that could unlock even more ETF products.
Moreover, the bounce wasn’t just from spot buying, though. A huge short squeeze helped push the Bitcoin price above $90k after more than $117 million in short positions were wiped out in a single day.
Open interest is climbing again, and BTC is moving almost in sync with the Nasdaq, so the stock market’s rebound added momentum too. Funding rates are still slightly negative, which is actually healthy – it means the rally isn’t overheated or driven by excessive leverage.
Policy Clarity and Rising Rate-Cut Expectations Bring Confidence
A mix of regulatory wins and better macro signals helped steady the crypto market and bring money back into risk assets today.
Abu Dhabi’s FSRA approved Ripple’s RLUSD stablecoin for institutional use, which boosted confidence at a time when Tether is under pressure from S&P’s recent downgrade.
Australia also announced plans to regulate crypto platforms under full financial licensing rules, giving exchanges and long-term investors more clarity.
JUST IN: Australia moves to bring crypto fully under its financial licensing regime.
— BeInCrypto (@beincrypto) November 27, 2025
New laws will regulate crypto platforms like traditional financial institutions. pic.twitter.com/4MlGpQmHlE
At the same time, expectations for a December rate cut shot up from 30% to 85% after weak job numbers and fresh comments from key Fed officials suggested easier conditions may be on the way.
🔥UPDATE: Just 7 days ago, markets priced a December rate cut at 30%. Today? 85% even @jpmorgan piling on – confirms the cut!
— PaulBarron (@paulbarron) November 27, 2025
What changed, you ask?
🎯NY Fed's Williams (Powell's right-hand) signaled openness to cuts
🎯Sep jobs report showed weakness (119K vs expected)…
A lot of traders also kept an eye on the growing buzz that FedNow might be tapping networks like Ripple, Stellar, or Hedera for instant payment rails.
Nothing is confirmed, but even the possibility was enough to give the big altcoins a boost. That shift in mood pulled buyers back into BTC, ETH, SOL, XRP, and the rest of the large caps after a shaky few weeks.
🚨BREAKING: Jerome Powell CONFIRMS U.S. FEDNOW is LIVE!🚨
— Crypto X AiMan (@CryptoXAiMan) November 27, 2025
And FEDNOW is using @Ripple ($XRP), @StellarOrg ($XLM) & @Hedera ($HBAR) to power real-time payments across the USA!?😳⚡️
This changes EVERYTHING for $XRP, $XLM & $HBAR holders…👀#XRP #XLM #HBAR #Crypto #FedNow… pic.twitter.com/BzBhmMMA1E
Read Also: ZEC ETF Hype Isn’t Enough: Why Zcash Still Risks a Crash to $100
When you combine that with the return of ETF inflows, a huge short squeeze, clearer policy signals, and rising hopes for rate cuts, the market finally feels like it can breathe again.
The bounce above $90k doesn’t erase the volatility of the past two weeks, but it does show buyers are stepping back in and absorbing sell pressure far better than expected.
If liquidity keeps improving and ETF flows remain positive, this recovery could turn into something much bigger for the crypto market especially as December approaches.
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