Bitcoin: Are Investors Ready for What's Ahead? Insights from a Crypto Analyst

As Bitcoin reached a record high in early October, it subsequently experienced a significant drop, falling over $40,000 below the $90,000 mark. This decline has understandably led to negative sentiment in the market, with many investors stepping back from cryptocurrency. However, as the year comes to a close, a cryptocurrency analyst shares insights on what might be next for Bitcoin and why investors might not be prepared for the upcoming changes.

Key Takeaways

Bitcoin recently fell below $90,000 after reaching an all-time high of $126,000.
Analyst Crypto Waterman believes Bitcoin is poised for a significant upward movement rather than having reached its peak.
Historical patterns, including the performance of gold and silver, suggest Bitcoin may still rise.
The current state of the altcoin market and other indicators also hint that the Bitcoin price hasn’t peaked yet.
A potential influx of new investors could signal the time to exit for current holders.

Bitcoin news

Is Bitcoin on the Verge of a Major Move?

Pseudonymous analyst Crypto Waterman recently expressed on social media platform X that Bitcoin could be primed for a breakout. While many believe that Bitcoin may have already peaked, Waterman argues that the current downturn is a typical part of Bitcoin's cycle. He cites trends from previous cycles to support his view that Bitcoin’s price has not yet reached its high.

Waterman points out that pullbacks like the current one are standard across each cycle. Furthermore, he notes that both gold and silver achieved new all-time high prices in December 2025, while Bitcoin has struggled to keep pace. The analyst emphasizes that historically, Bitcoin tends to follow the price movements of gold and silver; since they’ve already reached new highs, he believes it’s unwise for investors to switch to these assets at this point.

Another crucial marker for determining Bitcoin's peak is the performance of the Coinbase app in the App Store. In past cycles, Coinbase consistently ranked number one just before Bitcoin peaked. However, in October, it only reached as high as number 280 when Bitcoin hit its all-time high of $126,000, indicating that this might not be the peak after all.

Understanding Why This Isn’t the Peak

Additional factors highlight why Bitcoin's current drop doesn’t signify a peak. One key indicator is the ongoing performance of altcoins, which have been lagging significantly — with major altcoins down between 60% and 80% from their all-time highs and no clear signs of an altcoin season emerging.

Additionally, the Crypto Fear & Greed Index has not exceeded the 90 mark in this cycle, suggesting the market euphoria is not at its peak. In conjunction, the MVRV Z-Score remains below 3, whereas historically, the Z-Score typically surpasses 6 before a peak is reached.

Based on these observations, the analyst anticipates several developments. First, investors who exited the market in early 2025 are likely to return, followed by those who left in 2024, and then the 2021-2022 investor group. Eventually, new retail investors may come into the market, potentially signifying the time to exit for current holders.

Bitcoin price chart from Tradingview.com
BTC bears continue to dominate price | Source: BTCUSD on Tradingview.com

In conclusion, while current market sentiment may be cautious, key indicators suggest that Bitcoin might be on the verge of significant movement, and investors should be ready for what’s next.