The current Bitcoin price crash is being caused by big whale sell-offs as they lose huge early BTC holdings. However, there are also chart formations that indicate that the Bitcoin price crash is only in its early stages. This comes after the cryptocurrency closed the month of October in the red for the first time in seven years, setting a precedent for a likely bearish end to the year.
Higher low trendline should hold
The current Bitcoin price downtrend started after the cryptocurrency hit a new all-time high in August. The $126,000 rejection created a cascade of bearish pressure that is now plaguing the market, resulting in major losses for altcoins. But even with the price is already collapsing By a significant margin since then, it’s likely the decline isn’t over yet.
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Crypto analyst TradingShot highlights the current trend is similar to what we saw in January-February 2025, when a fractal formed after Bitcoin price broke below the trendline with higher lows. Currently, the Bitcoin price chart is following a higher low trendline formed after the infamous October 10 flash crash.
As the analyst explains, this trendline must hold before a recovery can occur. If the trendline does break, Bitcoin price could be in trouble, similar to what we saw at the beginning of the year. A rejection from this level would inevitably lead to a double-digit crash.
If the crash continues the same fractal seen in January-February, the analyst predicts a 32% decline could be in the works. This would take it to the 2.0 Fibonacci Extension level, and such a crash could see a drop to $87,000 before support is reestablished.
What a Bearish October Means for the Bitcoin Price
Interestingly enough, historical achievements also supports the crypto analyst’s theory that a double-digit crash is coming for the Bitcoin price. This has to do with the performance in October and what the trend suggests could happen in November.
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Whenever the Bitcoin price closed October in the red, the following November always ended weak as well. The last time Bitcoin saw an October red close was in 2018, and what followed was a 36.4% crash in November.
Given all this, it is likely that the The Bitcoin price follows this trendespecially with the big sell-off of BTC whales. Naturally, a double-digit crash would mean the Bitcoin price will fall below $100,000 for the first time in four months.
Featured image of Dall.E, chart from Tradingview.com