Bitcoin Bear Market Far From Over? Analysts Warn of Traps And Bounces
Bitcoin (BTC) has struggled to maneuver previous its October weak point, even after being one of the best-performing property in the course of the first 9 months of 2025. The cryptocurrency briefly climbed above $90,000 on Monday as merchants guess on a New Year rebound. However, the uptick didn’t final lengthy, as BTC fell again to round $87,000.
Analysts are warning buyers that such short-term beneficial properties may very well be liquidity traps, adopted by renewed promoting strain.
Short-Term Bounce, Long-Term Pain
Bitcoin is presently over 30% down from its all-time high of $126,000 in October. Crypto analyst Mr Wall Street described the asset as being in a bear market, and stated that market makers are more likely to proceed pushing costs decrease over the medium time period. However, he famous that within the quick time period, there may very well be a reduction bounce designed to create liquidity earlier than one other transfer down.
According to his view, such a bounce might then be adopted by a decline towards the $64,000-$70,000 vary, which he recognized as the following draw back goal.
Additionally, Doctor Profit echoed an identical broader sentiment. In the newest tweet, the analyst defined that Bitcoin stays in a robust bear market and {that a} market backside has not but been reached. In a earlier put up, he warned BTC merchants in opposition to anticipating to “purchase the crash” within the coming weeks because the downtrend might lengthen for much longer.
He believes Bitcoin could not backside out till September or October 2026. Based on that outlook, Doctor Profit stated he sees little profit in holding USDT, and as an alternative prefers to maintain capital working via massive allocations to silver and gold. He even went on to reveal a serious Bitcoin quick entered between $115,000 and $125,000.
Despite his long-term bearish stance, Doctor Profit added that he holds a medium-sized BTC place within the quick time period, anticipating a sideways part and a possible transfer up towards $107,000 earlier than one other leg decrease, probably in February or March.
Bear Market Structure
Several on-chain metrics additionally point to a bear market construction forming. Long-term holders, for example, are now not persistently taking income, as evidenced by LTH SOPR hovering round 1.0. This stage is traditionally under robust bull markets.
Meanwhile, the Bitcoin Cycle Market Index (BCMI) has declined together with the worth fairly than stabilizing, which signifies that additional draw back or prolonged consolidation could also be forward. This signifies the market is transitioning right into a bear part, which is outlined extra by time and distribution than by fast worth strikes.
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