Crypto analyst known as Crypto Whale has shared insights on why Bitcoin’s price might still plummet to $25,000. The analyst believes that this scenario would mark the macro bottom for Bitcoin, as it recovers from the current bear market.
Reasons for Possible Bitcoin Price Drop to $25,000
In a post on X, Crypto Whale indicated that the monthly chart implies the Bitcoin price might establish a macro bottom around $25,000 by 2026. The analyst further noted that historical trends suggest that such significant retracements often indicate long-term accumulation zones. He emphasized that this does not signify the cycle’s end, but rather a reset prior to the next phase of growth.
In another post on X, Crypto Whale asserted that Bitcoin is not currently in a bear market, discussing the likely developments for the 2026 bull run. He mentioned that a Bitcoin-led rally is expected this month, followed by a broader altcoin surge in February. He anticipates a bull trap in March, predicting volatility and potential panic selling.
Related Reading: Analyst Discusses Current Extremely Bearish Sentiment for Bitcoin Price
Following that, Crypto Whale forecasted that May will bring the capitulation stage, with a full bear market confirmation expected in June. This assessment aligns with findings from research firm XWIN Research, which observed that BTC has not clearly transitioned into a bullish trend. The firm also highlighted that the crypto market remains within a high-volatility fluctuation range, lacking decisive bullish or bearish indicators.
Additionally, XWIN Research mentioned the possibility of Bitcoin dropping to as low as $50,000, especially if recession fears increase, with deleveraging and ETF outflows potentially causing Bitcoin to fall under $80,000, making a drop to $50,000 feasible.
Death Cross Indicates Potential Drop to $38,000
In a post on X, crypto analyst Ali Martinez highlighted a death cross that has occurred multiple times on the BTC weekly chart. According to Martinez, if past trends continue, Bitcoin could face a correction of 50% to 60%, potentially dropping to as low as $38,000.
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This death cross, formed between the 10-week and 50-week simple moving averages, previously occurred in September 2014, leading to a 67% correction. Similar events were noted in June 2018, March 2020, and January 2022, resulting in price corrections of 54%, 53%, and 64%, respectively.
Martinez suggested that the price range between $50,000 and $38,000 is becoming increasingly appealing for long-term accumulation. He noted that the market will determine the next price movement for Bitcoin in its own time.
At the time of this writing, Bitcoin is trading at approximately $88,700, showing a rise in the last 24 hours, according to CoinMarketCap data.
Featured image from Pngtree, chart from Tradingview.com
