US Trading Hours Responsible for Bulk of Bitcoin's November Decline

The decline in Bitcoin's value in November has been largely attributed to trading activity during US hours, suggesting the cryptocurrency is being treated more like a high-risk tech stock than a distinct digital asset. Data from Amberdata reveals a pronounced regional disparity over the past month, with US hours accounting for nearly all of the losses, resulting in a cumulative return decline of approximately 30%. In contrast, Asian sessions have remained relatively flat, while European sessions have posted modest losses. This pattern has been consistent throughout November, with Bitcoin's value stabilizing or drifting during Asian sessions, experiencing a slight downturn during the European handover, and then incurring significant losses when US equity markets open. This timing coincides with the volatility experienced by major tech stocks, which have come under pressure due to concerns about potential Fed cuts, increased spending on AI, and a shift towards defensive sectors. According to Kyle Rodda, Senior Market Analyst at Capital.com, 'Bitcoin has always been highly correlated with US tech, as both are considered risk assets heavily influenced by US monetary policy expectations.' Rodda added that 'the recent market volatility has been driven by fears that the Fed will not cut interest rates in December, and possibly not as deeply in 2026 as previously thought, which will likely impact both tech stocks and Bitcoin.' Funds that view Bitcoin as a liquidity-sensitive risk asset appear to be driving this trend, as evidenced by stalled ETF inflows and net outflows across larger spot products during several US sessions this month. The decline in CME futures open interest also indicates deleveraging during US trading hours, which are characterized by the deepest liquidity for both spot and derivatives products, thereby amplifying intraday price swings. This regional divergence is notable compared to previous corrections, where selling pressure was more evenly distributed across time zones. Unless the tech sector stabilizes or ETF flows resume, Bitcoin's value is likely to remain tied to the rhythms of US trading hours, which will continue to dictate the tone for the broader market.