The trend of Bitcoin (BTC) is at a critical moment. The analyst points out that the current market adjustment may be laying the foundation for the next bull market. In the current environment of highly bearish market sentiment, this analyst believes Bitcoin may have already approached its final downside bottom.
Current adjustment: BTC needs to absorb liquidity
According to this analyst's analysis, Bitcoin recently fell below $90,000, actually to absorb the remaining buy orders and market liquidity in preparation for the upcoming rise. He stated, "Bitcoin is currently in a phase of absorbing all liquidity, and this process is ongoing. The ultimate bottom may be between $83,000 and $87,000." He added that although market sentiment is bearish in the short term, this adjustment may actually pave the way for a strong rebound in the future.
Market fluctuations: liquidation wave and macroeconomic uncertainty
On Tuesday, Bitcoin's price fell to a three-month low of $86,020, leading to over $1.58 billion in liquidation events. Data shows that in the past 24 hours, a large portion of the liquidated positions in the market were long positions. This wave of liquidation occurred after the Bybit hacking incident, significantly impacting market sentiment, compounded by uncertainty regarding Trump's tariff policies on Canada and Mexico, which intensified the selling pressure in the global stock market, further dragging down the crypto market.
Bearish sentiment: potential rebound during adjustment
Despite the current market sentiment leaning towards pessimism, from a technical perspective, this wave of downward adjustment seems to be just a warm-up for Bitcoin's next stage of rise. The analyst believes that the current market fluctuations and bearish sentiment may be nearing an end, and as liquidity is fully absorbed, Bitcoin's price is expected to welcome a reversal. Investors should pay attention to the support range of $83,000-$87,000; if the price stabilizes in this range, BTC may quickly enter an upward mode.
Key support range and future potential
Although Bitcoin faces greater downward pressure in the short term, the current market adjustment may be building strength for Bitcoin, preparing for the next strong rebound. From a historical and technical analysis perspective, Bitcoin is completing a "digestion period"; once the bottom is confirmed, it is expected to start a new wave of rise, potentially paving the way for a bull market in the coming months.
