Bitcoin News Today: Bitcoin Faces Potential 50% Correction by 2026 as Analyst Flags Trendline Break

Bitcoin’s ongoing bull market has come under scrutiny following a bearish analysis from crypto analyst Xanrox, who predicts a potential 50% price correction from current levels, bringing the price down to approximately $60,000 by 2026 [1]. This forecast is based on key technical indicators, including the 1.618 Fibonacci extension and the re-emergence of a long-term trendline drawn from 2017 to 2025, which aligns with Bitcoin’s all-time high of $122,800. Xanrox notes that the most recent touch of this trendline could signal the end of the current bullish cycle and the start of a corrective phase [1].

According to Xanrox, Bitcoin has completed Wave 5 of a rising wedge pattern and a larger Wave 5 impulse, suggesting that a bearish correction is imminent [1]. Historical price behavior also supports this view, as Bitcoin saw 84% and 77% declines following trendline touches in 2017 and 2021, respectively. This technical outlook contradicts the broader market sentiment, which remains optimistic as the price consolidates near $118,000 and shows strength above the 50-week moving average [1].

The timing of the potential downturn is also notable, as August and September historically tend to bring increased selling pressure, a factor that Xanrox highlights as further supporting his bearish stance [1]. While traders may still await confirmation, such as a breakdown below the 50-week moving average, Xanrox believes the top of the cycle is already in, with large institutions closely monitoring key moving averages [1].

However, not all analysts share this bearish view. Many still see the current consolidation phase as a continuation pattern leading toward $130,000 or higher [1]. The absence of significant sell-side volume, the firm hold above critical price levels, and bullish momentum across altcoins like Ethereum suggest that Bitcoin may still have room to rise before reaching a peak in this cycle [1].

These mixed signals reflect the ongoing complexity of the cryptocurrency market. While Xanrox’s analysis offers a compelling bearish case, other market participants remain confident in Bitcoin’s long-term trajectory. Investors are advised to closely monitor both technical developments and broader sentiment as the market evolves [1].

Source:

[1] https://www.newsbtc.com/news/bitcoin/bitcoin-bull-market-is-over/