Bitcoin (BTC) Continues to Fall! How Long Will This Last? Analysts Explain!
Bitcoin ($BTC) and altcoins, which started the new week with a decline, continue to deepen their losses.
Bitcoin dropped to the $63,000 level, and major altcoins, including Ethereum (ETH), also experienced significant declines. This drop is explained by a combination of uncertainty regarding the tariff policy of Donald Trump’s administration and growing risk aversion due to escalating geopolitical tensions between the United States and Iran.
As a result of this decline, Bitcoin is currently trading approximately 50% below its all-time high of $126,080 reached five months ago. However, according to analysts, a 50% drop from the peak does not necessarily mean that Bitcoin’s upward trend has been broken.
Analysts also note that the downturn is not linked to a structural collapse, pointing instead to trade policy, interest rates, and the use of leverage.
In an interview with Decrypt, LVRG Director of Research Nick Ruck and $BTC Markets analyst Rachel Lucas stated that the drop in Bitcoin’s price does not indicate a structural collapse.
According to experts, the decline is driven by a combination of macroeconomic factors, including the resumption of tariff increases, risk aversion in stock and crypto markets, and persistently negative ETF inflows.
Ruck and Lucas emphasize that the short-term outlook is not encouraging, that they expect a prolonged ongoing correction, but that the structural foundation remains solid.
Ruck added that he expects final stabilization around the $60,000 level, followed by gradual recovery.
In conclusion, analyst Justin D’Anethan noted that given the current uncertain environment, the realized price of $55,000 could be tested. He added that after the current 50% decline, a move below $60,000 is not as significant and may even provide a better opportunity to lower the average purchase cost.
See also: "Bitcoin slides, falls below $65k amid whale selling, Trump tariff saga"
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