The collapse of Bitcoin towards the $85,000 zone has caused fear, bearish narratives, and a typical emotional imbalance of the market. However, according to an increasingly supported view by institutional analysts, this pullback is not only natural but could also be the missing piece for Bitcoin to evolve into a healthier and more sustainable cycle.

Jeff Park, partner and CIO of ProCap BTC, recently explained that this drop could be one of the most important events to break an old paradigm that limits market growth: the psychological dependence on the '4-year cycle.'

1. The end of an era: the halving cycle no longer rules

Park argues that the famous four-year cycle is exhausted. Not out of whim, but because:

Massive institutional participation has completely changed the market dynamics.

Funds no longer buy based on myths or narratives; they buy based on structure, liquidity, and risk management.

Volatility is no longer dictated by miners and halving, but by the inflow and outflow of institutional capital.

In other words, the market is migrating from an emotional stage to a financial stage, where Bitcoin is a mature asset with real macro influence.

2. Why a negative close in 2025 would be extremely bullish

Park presents a thesis that very few dare to say out loud:

➡️ A red close in 2025 would be more beneficial than a weak green close.

What’s the reason?

Because it would break the self-fulfilling prophecy of the halving cycle.

A 'supercycle' every four years would no longer be expected.

The industry would move towards a pace guided by:

Pension funds

Corporate treasuries

ETFs

Continuous institutional flows

A marginal green close (for example, +5%) would keep the myth alive… and, according to Park, increase the probability of a bearish 2026.

On the contrary, a negative close would clean the market, unleash new narratives and allow the price to flow toward what truly matters: real institutional demand.

3. The crash to $85K does not reflect weakness — it reflects transition

The most powerful aspect of this reading is the conclusion:

✔ The drop is not a sign of a broken market.

✔ It’s the signal that the ecosystem is leaving its cyclical childhood behind.

✔ The price is reacting to a deep structural change.

Park summarizes it this way:

“I don’t want a small bounce. I want the market to leave the myth behind forever.”

If Bitcoin operates going forward under an institutional cycle, the price would be less volatile, more stable, and with a clearer path to much higher valuations, without relying on the halving calendar.

4. What does this mean for traders and holders?

1. It’s not a common dip: it’s a market reset.

2. The current volatility may be the price to pay for more solid cycles.

3. The '85K Shakeout' could become a catalyst for the next institutional rally.

The coming months will be key to observe if traditional narratives die… or if we are witnessing the birth of the first cycle 100% guided by professional capital.

Conclusion: The current pain may be the seed of the next big movement

Instead of seeing this drop as a setback, more and more analysts see it as a necessary reset. A step that Bitcoin had to take to break free from past mythologies and align with the largest institutional stage in its history.

If this transition is confirmed, $85K could go down in history as the level where the new macro BTC cycle was born.


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