As Bitcoin (BTC) hovers near its lowest levels since late 2024, a market observer suggests the flagship crypto may not have finished bottoming yet, with more downside potentially ahead.
BTC’s Historical Data Points To Longer CorrectionOn Wednesday, analyst Rekt Capital compared Bitcoin’s current price action to its performance in previous cycles to determine how close the leading crypto’s market bottom may be.
If the current cycle follows a similar timeline to previous ones, BTC could have at least 120 days left in its corrective phase, with the bottom likely occurring around October and the possibility of further extension if the cycle mirrors longer historical patterns.
Bitcoin Bottom Another 20% Below?The analyst highlighted that while the duration of the bear market is important, the depth of its retracement is another crucial factor. Last cycle, Bitcoin dropped 77%, while it declined 84% during its 2018 bear market.
If this pattern repeats, Bitcoin could see a potential retracement near 70% this cycle, placing BTC’s bottom in the high $30,000 range. Meanwhile, if the shallowing trend accelerates toward a 10% reduction, the bottom could form near the low $40,000 region.
Ultimately, Rekt Capital asserted that this period is crucial as it lays the foundation for the next bull cycle. “This bear market here (…) precedes an entire period of multi-year upside. And I think that’s why it’s important, as a result, to focus on the importance of this bear market bottoming out period over these next few months because we’ll then see a multi-year period of upside,” he concluded.
