Bitcoin
Short

BTCUSD Update: Bear Flag in Progress / Expect more weakness

389
Outlook remains unchanged, bear flag on bear flag setup, expecting more range
locked price action but then correction resumes. target is unchanged overall.

❄️ 2026 Crypto Winter Forecast: Bitcoin is expected to experience a sharp correction (~75% drawdown) following the 2024 halving. The cycle peak could reach ~$123k, with a low near $30k, consistent with past Bitcoin bear markets.

⏳ Market Dynamics: Post-2024 halving, Bitcoin’s supply reduction likely fuels a major price spike into 2025, driven by retail, leverage, and institutional FOMO. By mid-2025, Bitcoin reached new highs (~$120-126k), marking the late-stage, euphoria-driven market.

🚨 Contrarian Signals: Excessive leverage (e.g., 1001x on Aster DEX) and speculative meme-coin mania (BNB Chain) signal a market top, aligning with prior cycles where such behaviors marked the end of bullish phases.

🧊 Drawdown Explanation: A 75-80% correction, bringing Bitcoin down to ~$30k, is a historical norm, driven by factors like ETF inflows slowing, leverage unwinding, and macro risks. While Bitcoin matures as an asset, liquidity cycles will still result in substantial drawdowns.

🛡️ Support at $30k: Key institutional holders (ETFs, treasuries) may defend Bitcoin positions around $30k, setting a floor above previous lows. Bitcoin’s realized price (long-term average) also rises, which further supports the floor.

🧭 Timing: Following the 2024 halving, major peaks and a 2026 winter align with Bitcoin’s typical cycle pattern: a 2025 distribution phase followed by a 2026 price correction.

🧱 Winter Market Stress: High leverage (e.g., Aster DEX) could cause cascading liquidations, and smaller altcoins/meme assets are expected to crash significantly, with many never recovering. Marginal miners will also exit, deepening short-term pain but setting the stage for the next cycle.

In summary, the Bitcoin market is set for a dramatic bear phase around 2026, with a major correction following a typical halving-driven peak. This cycle’s "crypto winter" is expected to be painful but not catastrophic, with the $30k mark serving as a potential support level. ❄️

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.