Bitcoin slipped below $65,000 over the weekend before steadying on Monday, as traders on prediction platform Polymarket ramped up wagers that the correction is not yet over.
On Polymarket, the probability of BTC dropping under $55,000 rose to 72%, backed by roughly $1.2 million in trading volume.
Additional downside bets have also gained traction, including contracts targeting moves below $50,000 and $45,000. Those scenarios carry implied odds of 61% and 47%, with respective volumes of about $170,000 and $1.4 million.
Bitcoin briefly dipped below $65,000 on Sunday before recovering to around $65,900 at the time of writing, according to data from TradingView.
The cryptocurrency’s market capitalization also fell to roughly $1.31 trillion, slipping behind the Vanguard S&P 500 ETF (VOO) and ranking 15th globally amid the ongoing crypto market downturn, according to 8marketcap.
Bitcoin down 25% year-to-date
Bitcoin’s market cap has lost approximately $440 billion this year — about a quarter of its value — as prices retreated from roughly $90,000.
The broader crypto market has mirrored this trend, shedding around $760 billion, or 24.5%, according to CoinGecko.
At around $65,900, Bitcoin has gained roughly 22% over the past five years, underscoring its volatility and reigniting debates over its effectiveness as an inflation hedge.
Many see $55,000 as the “ultimate market bottom”
Traders’ bets that BTC could fall below $55,000 echo the views of analysts, major financial institutions, and onchain platforms.
Standard Chartered analysts have projected that Bitcoin could dip to $50,000 before potentially rebounding toward $100,000, while CryptoQuant suggests $55,000 may mark the “ultimate market bottom.”
On Monday, CryptoQuant highlighted that Tether USDt was under extreme liquidity stress — a warning sign reminiscent of conditions seen at the 2022 market bottom.
CryptoQuant also reported on Saturday that stablecoin exchange flows point to declining marginal buying power. Net USDT inflows to exchanges have dropped sharply, falling from a one-year high of $616 million in November 2025 to just $27 million.
“This contraction indicates reduced liquidity ready to be deployed into crypto markets,” the company said in a report shared with Cointelegraph.
Despite ongoing bearish sentiment, some analysts continue to emphasize Bitcoin’s long-term potential. Advocate Pierre Rochard called it the “most undervalued asset in the world” in a post on X on Sunday.
Similarly, a survey by Coinbase found that roughly 70% of institutional investors consider Bitcoin undervalued at prices between $85,000 and $95,000, citing its persistent underperformance relative to equities and precious metals.
