The crypto market is feeling bearish again because of renewed volatility and changing macroeconomic signals. One well-known analyst has issued a stark warning: Bitcoin could lose as much as 80% of its recent highs. A widely shared note set off the alarm, which has since led to speculation, fear, and heated debate in the digital asset community.
The warning comes right after Bitcoin started to recover earlier this month, which made some traders wonder if this is just a normal market correction or the start of a bigger structural decline. Bitcoin has been through big drops before, but the way this analysis is written, with support from on-chain data and technical patterns, is making even long-term holders worried.
Macro Pressure, Whale Activity, and Overheated Momentum
The report quotes an unnamed analyst as saying that Bitcoin is under a lot of pressure right now because the rally is too hot, whale accumulation is going down, and the economy is uncertain. On-chain data shows that some wallets that have been inactive for a long time have started sending coins to exchanges. This could mean that big holders are getting ready to leave. At the same time, funding rates on major exchanges are still high, which suggests that leveraged traders are being too optimistic.
Concerns about tighter monetary policy in the US and other big economies add to the bearish thesis. Central banks are still hesitant to fully reverse rate hikes, even though inflation is slowing down. This makes the market less risky, which is not good for crypto. Analysts say that in these kinds of situations, assets like Bitcoin, which are often seen as high beta plays, are the first to lose liquidity.
There are also technical indicators that are flashing red. There are a number of well-known models, such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD), that say Bitcoin is going down. If important support levels break, the market could see a chain reaction of liquidations that would lead to a selloff like the painful corrections that happened in 2018 and 2022.
Fear or Foresight in the Crypto Markets
Some people think the 80% crash prediction is too high, while others see it as a much-needed wake-up call in a market that has been too optimistic lately. In the last week, feelings on platforms like X and Telegram have changed a lot. Now, top influencers are telling people to be careful and keep their money safe. Traders are keeping an eye on important levels around $50,000 and $42,000 to see if Bitcoin will bounce back or fall apart.
Even though the outlook is bearish, many people are still cautiously optimistic that Bitcoin’s long-term fundamentals are still strong. Its growing role in institutional portfolios, the rise of ETF products, and its integration into global payment systems all support a broader adoption thesis. Still, the short-term path ahead seems to be cloudy with doubt.
This warning may or may not come true, but it makes one thing very clear: crypto is still a market that is driven by psychology as much as by data, and the mood is changing quickly right now.
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