Grayscale Suggests Potential Bottom After 50% Bitcoin Correction
Bitcoin (BTC) has shown a smaller correction compared to previous bear markets, and Grayscale has suggested that this week's rebound could be interpreted as a signal of a price cycle transition. The key evidence is that the lowest drop in this cycle is about 50%, which is lower compared to the past 80% crash. In a post on the 22nd, Grayscale stated that the current trend could be a significant turning point in the BTC cycle. The market is still discussing whether BTC will decline again in the fourth quarter of 2026, and Grayscale assessed that this week's strong rebound could indicate a more sustainable bottom formation. However, this does not confirm a price increase. The Bitcoin cycle is described as a bull market, peak formation, crash, long-term correction, and accumulation phase, with this correction being relatively small and coinciding with the recent rebound. Grayscale mentioned that if the current rebound continues, BTC could enter a new accumulation phase. In this case, the market's focus may shift from confirming additional lows to the conditions for the start of the next upward cycle. Grayscale highlighted that macro environment, market liquidity, and investor sentiment are key factors that will influence subsequent trends.
-- Price
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