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Some analysts believe that what is happening with Bitcoin cannot be described as a crash, but rather a phase of accumulation and price pressure that may precede a strong move.
The digital currency Bitcoin kicked off an extraordinary year following the 2024 U.S. presidential election, culminating in October with an all-time peak of over $126,000. In addition, Bitcoin has stabilized above six-digit levels for several consecutive months on the back of expanded ETF fund demand and institutional adoption.
However, things changed after that summit and the price fell by more than 30%, falling below $90,000, which led to the overall sentiment turning pessimistic and expectations that a new downward phase was about to begin.
However, analyst Merlijn The Trader disagrees with this view. Based on the proposal of analyst Raul Ball, he believes that the traditional four-cycle model is no longer valid, and the trend of Bitcoin is now mainly driven by liquidity, especially after major funds and institutions enter and transform into global assets similar to commodities.
This trend confirms that the correction is no longer the end of emerging markets, but rather an opportunity for a reboot, which requires traders to change the way they approach the market and focus on liquidity dynamics rather than old timetables, especially with indicators such as the economic cycle nearing the bottom, increased fiscal stimulus, the return of monetary expansion, and institutional pressure to enter the market.
Although it is difficult to predict a major rise due to recent volatility, another analyst known as “Wise Crypto” continues to put forward a very optimistic scenario, predicting that Bitcoin prices will reach the $600,000 level in 2026 if a series of factors occur simultaneously, including the Federal Reserve ending quantitative tightening, further interest rate cuts, short-term liquidity improvement, and the impact of the US election cycle, all of which may be in Bitcoin’s interest. High-risk assets.
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