The sharp price corrections that Bitcoin (BTC) underwent since January 2025 are nothing out of the ordinary, stated the Chief Executive Officer of a Web3 education and research platform–Collective Shift, Ben Simpson. Simpson stated that this retracement in prices was because the bull run had been postponed due to macro market conditions. Simpson mentioned:
I don’t think the bull run is over; I think the peak of the cycle has been pushed back due to macro conditions, and global liquidity isn’t pretty, which isn’t helping crypto
While giving reasons for his belief, the CEO stated that this was just the third or the fourth correction for BTC during this cycle compared to the 12 corrections that BTC went through during the last cycle. Hence, he normalized this price loss as just another correction.
Joining the bandwagon, Derive founder, Nick Forster also has a similar perspective with BTC’s price decline. He stated that BTC usually goes through this kind of pull back and there was no reason for it to be different this year.
Capriole Investments founder Charles Edwards, while giving his opinion on BTC’s price decline stated that the Bitcoin cycle was largely affected by the flat monetary curve. Making a comparison with the monetary curves during the present and previous BTC cycles, Edwards pointed out that there wasn’t enough liquidity. However, since it’s been almost 4 years since the lQuantitative Tightening took place, Edwards expects the monetary policy to change, with more supply of money flowing into the market, and thereby more investment into crypto.
BTC/USDT 1-Day Chart (Source: Tradingview)
At press time, BTC is fluctuating inside a falling wedge. Usually, when a coin fluctuates within a falling wedge, there could be a surge in prices after it breaks out of the wedge. The height of the price gain after the breakout is the height of the wedge of during the initial stages of the formation (black arrow). If BTC breaks out of the falling wedge conventionally, there is a high chance that it could reach above $105K level.
