‘Bitcoin Isn’t in a Bull Market:’ Expert Warns $80K Wasn’t the Bottom

Crypto markets opened the week under pressure. Bitcoin (BTC), for one, briefly dipped toward $86,000 as risk-off sentiment weighed across the sector.

The asset later clawed back some losses and traded around $87,800. However, market experts believe that BTC remains bearish and lower levels are still ahead.

Bitcoin’s Harsh Reality Check

Popular crypto analyst Mr. Wall Street said the market is not in a bull phase and that optimism about a rebound is premature. In the latest update, he explained that the plunge to a level not seen since mid-December 2025 did not mark a durable bottom. He framed current conditions as part of a “huge bear market.”

Mr Wall Street added that further downside remains ahead, while pointing to “much lower targets” as the next stage for the leading crypto asset rather than a quick recovery.

Another analyst, Axel Adler Jr., echoed a similar sentiment amid market strain. He said these are not easy times for holders, and described an environment shaped by “pressure, fatigue, doubt.” More interestingly, Adler argued that the crypto winter began in November and is not only ongoing but “intensifying.” Adler went on to add,

Traders Turn Defensive

One major trigger for the downtrend was renewed tension in currency markets, after the New York Fed’s USD/JPY “rate check” hinted at sensitivity to a weaker yen, with 160 seen as an implicit warning level. Even though USD/JPY is still near two-month highs around 154, QCP Capital said positioning has become increasingly defensive as investors unwind short-yen trades to avoid being caught by possible intervention.

The asset manager also said US political risk remains a major overhang as uncertainty builds around fiscal negotiations. House Republicans have moved forward with spending bills, while Senate Democrats have signaled they may block them. With government funding set to expire on January 30, QCP warned that failure to reach a bipartisan deal could trigger a partial shutdown.

Meanwhile, Polymarket is pricing roughly a three-quarters chance of a shutdown by January 31. In crypto, QCP said put skew and implied volatility have risen, and prices may “chop around” in the near term as volatility stays high and markets await clarity.

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