As 2025 came to a close, Bitcoin (BTC) ended on a negative note, trading more than 30% below its all-time highs and grappling with the formation of a death cross—a technical indicator that traditionally precedes significant price corrections.
Bitcoin May Face 50%-60% CorrectionAs seen in the cryptocurrency’s weekly chart below, past occurrences of such crossovers have led to price declines of 67% in September 2014, 54% in June 2018, 53% in March 2020, and 64% in January 2022.
Adding another layer of complexity to the analysis, market expert Mags has outlined two potential scenarios for Bitcoin’s near future.
Two Scenarios For BTC’s FutureFollowing Bitcoin’s downturn since its October highs above $126,000, it has been trading around the $85,000 mark for several weeks. Coinciding with this, Tether’s USDT dominance has broken out of its previous range, currently maintaining levels above the breakout zone.
Mags asserts that such a move could potentially ignite another expansion in Bitcoin’s price, possibly even leading to a new all-time high before any significant distribution occurs.
In this case, BTC would exhibit a slow distribution pattern, marking neither a crash nor a rapid decline, but rather a gradual, choppy downward movement characteristic of initial bearish market behavior.
Featured image from DALL-E, chart from TradingView.com
