Bitcoin and Ethereum continue to decline, but this is the signal experts were expecting.

Bitcoin and Ethereum continue to retreat in the market amid uncertainty in Washington and technological weakness, but analysts see a historic opportunity as they anticipate that the bottom is near. 

The digital asset market is facing one of its toughest tests at the start of 2026. This Thursday, the price of Bitcoin (BTC) fell back to minimum of 15 months, reaching levels not seen since the end of 2024, while Ethereum (ETH) struggles to regain the psychological support of $2.000. 

This technical correction, which has led Bitcoin to trade at around $67.000 at the time of writing, occurs in a perfect storm context: a combination of disappointing quarterly results from major Wall Street technology corporations and growing legislative uncertainty in Washington. 

However, despite the volatility, which has wiped out billions in market capitalization, the sentiment among institutional analysts is not one of panic, but rather strategic observation. Many experts believe this adjustment is a necessary reset to eliminate excess leverage and establish a solid foundation before the next phase of expansion in the crypto ecosystem.

Macroeconomic pressure and the burden of Big Tech

In recent days, the cryptocurrency market has again shown signs of weakness as the US tech sector loses momentum. The slowdown of major AI-driven companies has dampened the enthusiasm that gripped investors just a few weeks ago. Faced with more subdued results and expectations, many opted to reduce their risk exposure and direct their capital toward assets considered safer. This adjustment in risk appetite has had a direct impact on the crypto ecosystem, which typically moves in tandem with technological trends.

CoinGecko data reflects a significant correction in major cryptocurrencies. Bitcoin and Ethereum have registered declines of between 10% and 12% in just one day, while Ethereum's weekly drop has already exceeded 30%.

Adding to this prolonged correction is the political fragility in Washington. Legislative debates on the regulation of digital assets and budget stability have injected an extra dose of anxiety into the markets. This uncertainty has directly impacted the total market capitalization of cryptocurrencies and digital assets, which now stands at approximately $2,37 trillion. 

Bitcoin, which just a few months ago was trading above $100.000 per unit, has seen a 22% drop in just seven days, dragging down most of the high-cap altcoins, such as Solana and BNB, which have recorded double-digit losses in the same period.

The market is experiencing massive sell-offs and negative flows in ETFs.

Faced with the fall of Bitcoin and Ethereum, more than 1.400 million Leveraged positions were liquidated in the derivatives market in just one day, a clear sign of the current selling pressure. When BTC and ETH prices broke through key support levels, automated orders began to cascade, triggering a domino effect that intensified the decline of these cryptocurrencies in a matter of minutes. 

According to data from the Coinglass platform, $720 million was liquidated from long Bitcoin positions and another $330 million from long Ethereum positions. As always, this all happened with the characteristic speed of leveraged markets, where abrupt movements can wipe out accumulated gains in a very short time.

Meanwhile, the institutional segment reflects a more cautious mood. Bitcoin spot exchange-traded funds, which had driven a massive inflow of capital during 2025, are showing a full week of negative flows. This trend suggests that large investors are temporarily reallocating their capital while awaiting greater stability in the US political landscape. 

Near the bottom? Bernstein's projections and the disruptive future

Despite the current reddish hue of the screens, analysts from leading firms like Bernstein argue that this pullback in the price of Bitcoin and major cryptocurrencies is a historic sign of a bottom forming. According to their most recent research notes, the market bottom in this cycle could be found in the $60.000 range; a level that coincides with long-term technical support zones that, in previous cycles, have served as a springboard for sustained recoveries.

CryptoQuant experts also emphasize that the technological foundation of Bitcoin and Ethereum remains strong. Both blockchain networks continue to process enormous volumes of value in a decentralized manner and are consolidating their position as viable alternatives within the global financial infrastructure. Therefore, the current price drop appears to be more related to behavioral factors and macroeconomic pressures than to structural weaknesses in the digital ecosystem.

In a publication Recently, experts noted that the Net Unrealized Profit and Loss (NUPL) index is in a capitulation phase. Analysts believe this point typically appears during periods of extreme fear and has historically been a prelude to significant upward movements. 

“For investors and analysts, this NUPL signal serves as a quantitative measure of market psychology at extremes. While it doesn't predict the exact timing, history shows that these negative NUPL episodes are usually brief and followed by sustained recovery phases.”analysts said in the report. 

In this context, experts are urging investors to focus less on questioning the resilience of the crypto market and more on determining how close we might be to the point where demand returns. Persistent regulatory uncertainty in the United States continues to dampen some enthusiasm, although the general perception is that the underlying structure of the digital market remains solid and poised for a new surge when the macroeconomic environment allows.