Bitcoin’s price is currently struggling to stabilize following Monday’s Wall Street open, in a scenario where the bitcoin market trend shows clear signs of institutional exhaustion. According to TradingView data, the asset printed its fourth consecutive red monthly candle in January, a technical phenomenon historically observed only during the 2014 and 2018 bear markets.
Despite a slight 2% bounce from the daily open, the BTC/USD pair has established new 16-month lows by touching $74,532 on platforms like Bitstamp. Consequently, analysts at QCP Capital warn that a sustained close below the $74,000 support level could drag the crypto complex back toward its 2024 trading range, intensifying the risk of a significant market capitulation.
This prolonged weakness has led industry figures, such as trader Jelle, to declare that the uptrend has officially ended after confirming lower weekly lows. On the other hand, analysts like Rekt Capital agree that the $126,200 all-time high reached in October 2025 may have marked the definitive top of this cycle, leaving little probability for a new rally within the current quarter.
Can the gold correction benefit digital assets?
Interestingly, the cooling of gold and silver prices following Kevin Warsh’s nomination to the Federal Reserve could offer a window of opportunity for the sector. Thus, reduced demand for “non-yielding” precious metals could release capital flows back into cryptocurrencies, provided Bitcoin manages to reclaim key psychological levels above the $88,000 threshold.
However, blockchain dynamics have become more complex due to forced liquidations in futures markets, which have accelerated the unwinding of leveraged positions. Therefore, although Bitcoin historically tends to follow gold peaks with a certain delay, the current “market fatigue” sentiment suggests that any recovery will be gradual and dependent on macroeconomic stability and dollar liquidity in the upcoming sessions.
Ultimately, the market faces a structural challenge where momentum indicators, such as the RSI, remain in persistent zones of weakness. It is expected that the remainder of the quarter will function as a critical consolidation period, where Bitcoin must demonstrate its resilience against traditional assets to invalidate the narrative of a prolonged bear market that is starting to gain consensus among veteran investors.
