Bitcoin’s dream rally has hit a major roadblock. After falling below $89,000 for the first time since November 2024, fears of a deeper correction have gripped the market. The catalyst? U.S. President Donald Trump’s renewed "Tariff War," imposing 25% tariffs on Canada and Mexico. This move rattled both traditional and crypto markets, dragging total crypto market capitalization below $3 trillion.
With market sentiment plunging to 25—the same levels seen during the FTX collapse—Bitcoin is now sitting at the neckline of a major bearish pattern, raising concerns about whether more downside is ahead.
Is Bitcoin’s Structure Still Bullish?
🔹 Descending Parallel Channel – BTC mirrors a pattern from early 2024, when prices dropped to $54,000 before soaring to $109K.
🔹 Key Support at $85,000 – A test of this level could trigger a rebound.
🔹 RSI Declining to 44.39 – Momentum is cooling, but a reversal could be near.
🔹 MACD Still Positive – Despite rising selling pressure, BTC’s weekly MACD suggests a potential bounce.
What’s Next for Bitcoin?
📌 Bullish Case – If Bitcoin bounces off support at $85K, a breakout from this descending channel could push it to a new ATH above $112K.
📌 Bearish Case – If BTC fails to hold, it could face extended downside pressure, breaking below key support zones.
The bull run isn’t necessarily over, but BTC is at a critical turning point. If history repeats itself, this correction could be the reset needed before a push to new highs.
With market sentiment plunging to 25—the same levels seen during the FTX collapse—Bitcoin is now sitting at the neckline of a major bearish pattern, raising concerns about whether more downside is ahead.
Is Bitcoin’s Structure Still Bullish?
🔹 Descending Parallel Channel – BTC mirrors a pattern from early 2024, when prices dropped to $54,000 before soaring to $109K.
🔹 Key Support at $85,000 – A test of this level could trigger a rebound.
🔹 RSI Declining to 44.39 – Momentum is cooling, but a reversal could be near.
🔹 MACD Still Positive – Despite rising selling pressure, BTC’s weekly MACD suggests a potential bounce.
What’s Next for Bitcoin?
📌 Bullish Case – If Bitcoin bounces off support at $85K, a breakout from this descending channel could push it to a new ATH above $112K.
📌 Bearish Case – If BTC fails to hold, it could face extended downside pressure, breaking below key support zones.
The bull run isn’t necessarily over, but BTC is at a critical turning point. If history repeats itself, this correction could be the reset needed before a push to new highs.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.