Bitcoin in a Stagnation Period: A New Bottom Search Has Begun

The price of Bitcoin has tested its lowest level since May, as extreme fear has once again taken hold of the market. Bitcoin (BTC) briefly fell below $94,000 over the weekend, exposing the weak risk appetite in the market once more. The Crypto Fear & Greed Index staying at a level of 10 indicates that investors are monitoring the current decline in search of a potential bottom.

On Sunday evening, Bitcoin was trading at around $95,087, having lost 1 percent in value in the last 24 hours, testing its lowest level since May 6. This weakness was not limited to Bitcoin; Ethereum (ETH) dropped 3 percent to $3,113, XRP fell 2.1 percent to $2.21, BNB decreased 1.6 percent to $926, and Solana (SOL) saw a decline of 3.6 percent, reaching $137.

Senior crypto analyst Ali Martinez stated that Bitcoin has broken down from its current price channel, increasing the likelihood of a pullback towards $83,500. On the other hand, analyst Benjamin Cowen noted that the death cross signal observed in Bitcoin has often indicated local bottoms in the past. Cowen emphasized that Bitcoin needs to react within the next week to prevent breaking the cycle.

Market strategist Charlie Bilello made an interesting comparison, stating that while gold has risen 55 percent this year, making it the best-performing asset of 2025, Bitcoin has remained only about 1 percent up, positioning it as the weakest major asset of the year. This situation contrasts sharply with 2013.

Meanwhile, uncertainty continues on the U.S. side. U.S. Treasury Secretary Scott Bessent reported that the “dividend payments” financed by $2,000 tariffs announced by President Donald Trump require Congressional approval. The optimism previously created by this plan had led investors to expect an increase in spending and entry into crypto.

While it’s early to say that the market has completely darkened, according to Santiment data, discussion rates for Bitcoin reached a four-month high on the day BTC fell below $95,000. The increase in social dominance during such periods underscores the possibility of a potential reversal; however, it is also noted that this is not guaranteed. In this environment, investors are discussing the possibility of a deeper decline while considering that extreme fear could strengthen the search for a bottom.