Bear flag patterns, macro pressure, and historical cycles suggest BTC could enter a prolonged correction, with altcoins facing even steeper losses.
The Bitcoin (BTC) price today is under increasing pressure, as several factors suggest a possible sharp correction. While the short-term price movement remains unclear, the overall market structure appears weak. Veteran trader Peter Brandt recently said BTC Price could still drop towards the $58,000-$62,000 range.
One of the biggest concerns comes from Bitcoin’s four-year market cycle. Historically, Bitcoin bull markets peak around 530 days after a halving event. Using this model, the current cycle’s top may have formed around early October, close to Bitcoin’s recent all-time high near $125,000.
If this pattern holds, Bitcoin could already be nearly 100 days into a new bear market. Previous bear phases have lasted close to one year, meaning selling pressure could continue well into 2026.
Bitcoin’s past bear markets show sharp declines:
Although volatility has reduced over time, a 70-80% drop from the cycle peak remains historically possible. From the $125,000 high, this would place Bitcoin near $37,000 in an extreme scenario.
This price action would resemble the 2021 cycle, where Bitcoin first dropped sharply, moved sideways for months, and then saw another major collapse before finding a bottom.
A key long-term support level for Bitcoin is the 200-week moving average. In every major bear market, Bitcoin has either touched or briefly dropped below this level before stabilizing.
At present, the 200-week moving average sits near $57,000, which already represents a 55% decline from the recent peak. If broader markets weaken, Bitcoin could revisit this zone.
On the daily chart, Bitcoin appears to be forming a bear flag pattern. This typically occurs when the price consolidates upward after a sharp drop, before continuing lower.
If this pattern breaks down, analysts warn Bitcoin could quickly slide toward $70,000 or below, increasing downside momentum.
Despite bearish risks, Bitcoin has not fully broken down yet. On the weekly chart, BTC is holding support around $91,000.
As long as this level remains intact, Bitcoin may attempt another move higher. However, a clear loss of this support could send the price toward $86,000, opening the door to deeper losses.
According to @JacobKinge, Market concern increased after a Satoshi-era Bitcoin wallet moved 909.38 BTC after more than a decade of inactivity.
The coins were originally acquired when Bitcoin traded near $7 and are now worth approximately $85 million. Analysts believe the transfer could be linked to off-chain settlements or synthetic selling, which can weigh on price without appearing as direct spot market sales.
The event also highlights that early Bitcoin holdings were likely split across many dormant wallets, making large distributions difficult to track.
Bitcoin remains closely tied to traditional markets during risk-off periods. In past cycles, a 15-20% correction in the Nasdaq has often led to a 30-40% drop in Bitcoin.
Even a standard equity market correction could push BTC back toward the $57,000 support zone, or lower.
If Bitcoin enters a prolonged bear market, altcoins are expected to fall harder.
Historically, Ethereum has dropped 80-90% during bear cycles. A similar decline would push ETH toward the $1,000 level. Many altcoins, already down heavily, could still lose another 50-80% as liquidity dries up.
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