Bitcoin's downward trend, which started with a sharp rise in October, will continue until the end of 2025.
Although this decline was thought to be temporary and an upward trend would occur in the coming months, a strong recovery has not been achieved in the past three months.
The situation has fueled bearish rhetoric, and CryptoQuant analysts also said that key indicators are pointing to a potential bear market.
According to CryptoQuant analyst Wu Mingyu, the Bitcoin Composite Market Index (BCMI) experienced a significant decline and returned to the 0.5 region.
According to analysts, this decline in the BMCI index suggests that the market is not simply experiencing a correction, but may be entering a bear market phase.
Analysts said that while BCMI's return to 0.5 on October 21 was initially interpreted as a cooling/adjustment period for the market, the significant drop in BTC price and further decline in the index indicate a different scenario at this stage.
At this point, analysts pointed out that the decline in the BCMI index coincided with the decline in Bitcoin prices, indicating that on-chain momentum is weakening and the market is entering a structural reset phase.
Analysts said these signs, taken together, could suggest a bearish outlook.
Finally, the analyst noted that the 2019 and 2023 cycle lows occurred when the BCMI reached a range of 0.25 to 0.35, noting that the BCMI index is still above these levels.
According to analysts, this level indicates that Bitcoin is about to enter a bear market stage. In this context, analysts conclude that if history repeats itself, a market bottom may form only after the BCMI falls to these levels, and warn against the possibility of a bear market starting.
*This is not investment advice.
