Bitcoin is at a crossroads, according to a recent analysis of market moves and trader sentiment. While the cryptocurrency experienced a sharp drop from around $121,000 to $102,000 following news of new US tariffs on Chinese goods—a crash that led to over $19 billion in liquidations—it has since rebounded to approximately $112,400.
Veteran trader Peter Brandt believes Bitcoin could still quickly reclaim its all-time high of $125,100, but only after one more "huge shakeout" or major price correction. However, he also warned of a possible, much more severe drop, suggesting that a violation of a key long-term price trend (the "parabola") has historically led to a 75% decline, which could potentially send Bitcoin back to the $50,000–$60,000 range.
Despite the recent volatility, many prominent figures remain bullish, citing supportive macroeconomic conditions:
The weekend crash served as a sharp reminder of the market's inherent dangers, especially for those using high leverage. Charles Edwards of Capriole Investments stressed that traders must "always consider multi-year, long-term risk," adding that even leverage multiples above 1.5x are dangerous. Despite the warning, Edwards believes the recent volatility is temporary and maintains an "up" outlook for the coming weeks.
October 2025, Cryptoniteuae