Community Trust ScoreVerified
The Bitcoin market has entered a period of heightened uncertainty after a sharp decline driven by whale selling and weakening technical momentum. Analysts warn that unless Bitcoin maintains its current higher-low trendline, the world’s largest cryptocurrency could face a deeper correction—potentially dropping as low as $87,000.
Bitcoin Faces Heavy Pressure from Whale Sell-Offs
Bitcoin’s current decline began shortly after reaching a new all-time high of $126,000 in August 2025. The rejection at that level triggered a wave of selling that quickly spread across the broader crypto market. Large Bitcoin holders, often referred to as whales, have been reducing their positions significantly in recent weeks, contributing to intensified downside pressure.
According to on-chain data, several early Bitcoin wallets have been actively offloading coins, increasing the total exchange inflows. Historically, such whale activity often signals a transition from accumulation to distribution phases—periods when investors lock in profits after extended bull runs.
The sell-off has pushed Bitcoin below several key technical levels, causing concern among traders who fear that the market may not yet have found a solid bottom.
The Higher-Low Trendline Holds the Key
Technical analyst TradingShot recently highlighted that Bitcoin’s price action is closely mirroring a pattern seen earlier in 2025. Back in January and February, the cryptocurrency broke below a critical higher-low trendline, triggering a sharp double-digit correction.
At present, Bitcoin is following a similar structure. Since the October 10 flash crash, the coin has been forming progressively higher lows—a bullish structure suggesting gradual accumulation. However, with the recent downturn, this trendline is now being tested.
TradingShot noted that as long as Bitcoin stays above this support, there is potential for recovery. But if the trendline breaks decisively, history suggests that a major leg lower could follow.
“If Bitcoin fails to hold the higher-low trendline, the pattern could play out just like in early 2025,” the analyst explained. “A breakdown from this level may trigger a 30% or greater correction.”
A 32% Crash Could Send Bitcoin to $87,000
Based on Fibonacci Extension analysis, TradingShot projects that a continuation of the ongoing downtrend could take Bitcoin toward the 2.0 Fibonacci Extension level, which corresponds to a price of around $87,000.
Such a drop would represent roughly a 32% correction from current levels and mark Bitcoin’s lowest point in four months. Historically, deep corrections within a bull market are not uncommon; however, this potential move would significantly test investor confidence.
The forecast aligns with other bearish signals emerging from macroeconomic indicators and ETF outflows. Spot Bitcoin ETFs have recently seen billions in redemptions, suggesting that institutional demand may be cooling off after months of sustained inflows.
Historical Data Supports Bearish Outlook
Bitcoin’s poor performance in October has also added weight to bearish predictions. The cryptocurrency closed the month in the red for the first time in seven years, breaking a long-standing trend of strong “Uptober” performances.
Historically, when Bitcoin ends October with losses, November tends to follow suit. The last instance occurred in 2018, when Bitcoin dropped more than 36% in November after a red October.
This cyclical pattern raises further concerns among traders that the current downturn could extend into year-end. Combined with whale selling and weakening technical structure, the setup appears increasingly vulnerable.
Market Sentiment Turns Cautious
Investor sentiment has turned notably cautious as volatility returns to the crypto market. Many traders are now watching the $100,000 psychological level, which has acted as a key support zone over recent months.
If Bitcoin breaks below this threshold, analysts expect increased panic selling, especially among leveraged traders. However, long-term holders remain largely unfazed, citing Bitcoin’s historical ability to recover from even deeper corrections.
Macro factors also continue to influence Bitcoin’s trajectory. Global liquidity remains tight, and uncertainty around U.S. monetary policy and geopolitical risks has encouraged investors to take a defensive stance across risk assets.
Will Bitcoin Repeat Its Past Recovery Patterns?
While the short-term outlook appears fragile, Bitcoin has repeatedly demonstrated resilience after major corrections. The cryptocurrency has endured numerous 30–40% drawdowns during past bull cycles, often rebounding to new highs once selling pressure eases.
For now, all eyes remain on the higher-low trendline, which serves as the dividing line between recovery and further decline. If Bitcoin manages to defend this structure and regain strength above $110,000, confidence could quickly return.
However, a confirmed breakdown could validate the bearish fractal projection—potentially sending the price toward the $87,000 level before the next phase of accumulation begins.
Conclusion
Bitcoin’s recent weakness has reignited debate over whether the market is experiencing a short-term correction or the beginning of a deeper bearish phase. With whale sell-offs, historical trends, and technical indicators all pointing toward caution, traders are watching the charts closely.
If the higher-low trendline breaks, the next stop for Bitcoin could indeed be $87,000—a level that may once again test investor conviction in the long-term strength of the cryptocurrency.
