Bitcoin fluctuates as experts warn of a major contraction in the crypto market

Bitcoin is currently exhibiting significant volatility, trading around $91,980 after approaching $88,000 earlier this week. This uncertainty reflects a broader market sentiment: the total capitalization of the crypto ecosystem stands at $1.837 trillion, returning to levels seen at the end of last year.

Warning Signs for a Deep Correction

Industry experts are sounding the alarm about the risks of a significant crypto downturn. A consolidation below the $2.75 trillion mark could trigger a cascading crash, potentially bringing the market down to $1.8 trillion. This scenario would resemble the turbulence observed in early October, when momentum gave way to a sharp correction.

Long-term Holders Take Profits

A concerning element: since July, experienced investors have liquidated over 500,000 BTC, signaling widespread profit-taking. This gradual offloading by long-term holders fuels fears of a loss of momentum in the recent rally.

Diverging Scenarios for the Future

Analysts’ predictions vary widely. Some forecast a drastic drop in Bitcoin to $25,240, representing nearly an 80% crypto decline. Others, more optimistic, foresee new all-time highs in 2026. This polarization of opinions reflects the current uncertainty surrounding market prospects.

Beyond these turbulences, structural developments are emerging: SBI Holdings and Startale Group plan to launch a yen-backed stablecoin in early 2026, signaling a gradual institutionalization of the sector.