Analyst Predicts Bitcoin Price Potential Collapse If Uptrend Fails

A critical warning has emerged from the charts, with market analysts forecasting a potential crash in Bitcoin’s price. Technical analysis indicates that if BTC does not maintain its current uptrend, it might replicate the bear market decline seen in previous cycles, possibly resulting in a drop of double-digit percentages.

Key Takeaways

Analysts are warning of a potential Bitcoin price collapse if the recent uptrend does not continue.
Tyrex highlights a significant similarity between the current price structure and the 2022 bear market.
Bitcoin could drop by over 11% to the $86,000-$84,000 range if the current resistance holds.
Another forecast suggests Bitcoin might reach a new all-time high around $240,000 in March, followed by a potential flash crash in May 2026.

Bitcoin

Could Bitcoin's Price Mirror the 2022 Bear Market Collapse?

Crypto analyst Tyrex has raised concerns that Bitcoin is nearing a pivotal moment if the present uptrend does not sustain. In his recent analysis on X, he draws parallels between the current market situation and April 2022, a period when Bitcoin reached its all-time high and subsequently endured a significant downturn.

Tyrex points out that in 2022, Bitcoin plummeted roughly 45% from its peak before entering an elongated consolidation phase that persisted for nearly four months. During this time, prices followed strict horizontal boundaries, creating a false impression of strength and stability, despite underlying weaknesses building up.

This consolidation ultimately culminated in a false breakout, as the price momentarily surpassed resistance before sharply reversing. This rejection led to a continuation of the broader downtrend that year, resulting in an aggressive price fall that eroded any remaining bullish sentiment.

Tyrex believes that BTC's current chart setup closely resembles the historic patterns observed in 2022. Bitcoin has recently experienced a steep pullback after hitting an all-time high exceeding $126,000. Furthermore, it has been consolidating for about two months within a defined range, repeatedly encountering resistance levels.

Tyrex cautions that Bitcoin is precariously close to the $95,000 mark, aligning with a critical resistance zone indicated on the chart. If the price fails to regain momentum and stagnates around this level, it could lead to another swift downturn, mirroring the events of 2022. The chart highlights a potential crash area, with the analyst estimating an 11.04% decline to the $86,000-$84,000 range.

BTCUSD now trading at $95,259. Chart: TradingView

Forecast for Bitcoin: Potential All-Time High in March and Crash in May

Meanwhile, another market expert, CryptoXLarge, offers insights into Bitcoin’s potential trajectory over the next four months. This analyst utilizes historical market trends to suggest that the current cycle may be mirroring previous cycle peaks.

CryptoXLarge foresees January 2026 as a period of calm accumulation characterized by controlled price movements and low volatility. February is anticipated to usher in a robust rally as momentum accelerates, driving Bitcoin's price upward. This rally could pave the way for Bitcoin to achieve a new all-time high near $240,000 by March.

However, after this anticipated peak, April could represent a bull trap, where prices seem strong yet fail to maintain upward momentum. The forecast concludes with a warning regarding a potential flash crash in May 2026, where prices might retreat to new lows.

Featured image from Unsplash, chart from TradingView