CandleFocus

Bitcoin Crash Ahead? Sell-the-News Risks Signal $85k as Distribution Phase Begins

Bitcoin Crash Ahead? Sell-the-News Risks Signal $85k as Distribution Phase Begins
Bitcoin (BTC) price closed Monday in a shooting star candlestick after teasing a new all-time high during the inauguration of pro-crypto US President Donald Trump. The volatility in the crypto market led to over $638 million being lost in the leveraged market, primarily by long traders. This has increased the possibility of a long squeeze and added to bearish sentiment. Market analyst @Htltimor believes that Bitcoin has completed the parabolic phase of its bull cycle and is entering the distribution phase, potentially leading to a bear market. They predict that the price will drop to around $85k before entering a multi-quarter accumulation phase ahead of the 2028 halving. The overall supply of Bitcoin on centralized exchanges has decreased to around 2.19 million, likely due to the approval of spot BTC ETFs in the US. These ETFs, such as BlackRock's IBIT and Fidelity's FBTC, have accumulated over $120 billion in net assets. Additionally, MicroStrategy Inc. continues to purchase more Bitcoins through leveraging global capital markets.

Related News