The current Bitcoin price crash is being driven by major sell-offs from large whales as they offload massive early BTC holdings. In addition to this, though, there are also chart formations that suggest that the Bitcoin price crash is only in its beginning 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 close to the year.
Higher Low Trendline Needs To Hold
The current Bitcoin price downtrend began after the cryptocurrency hit a new all-time high back in August. The rejection at $126,000 created the cascade of bearish pressure that has now plagued the market, causing major losses to altcoins as a result. But even with the price already crashing by a significant margin since then, it is likely that the decline is not yet over.
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Crypto analyst TradingShot highlights the current trend as being similar to what was seen back in January-February 2025, where a fractal formed after the Bitcoin price broke below its higher lows trendline. Presently, the Bitcoin price chart is following a higher low trendline formed after the infamous October 10 flash crash.
As the analyst explains, this trendline needs to hold for a recovery to take place. In the event that the trendline does break, then the Bitcoin price could be in trouble, similar to what was seen at the start of the year. A rejection from this level would inevitably lead to a double-digit crash.
If the crash sticks to the same fractal seen in January-February, then the analyst predicts that a 32% decline could be in the works. This would put it on the 2.0 Fibonacci Extension level, and such a crash could mean a decline to as low as $87,000 before support is established again.
What A Bearish October Means For The Bitcoin Price
Interestingly, historical performance also supports the crypto analyst’s theory that a double-digit crash could be in the works for the Bitcoin price. This has to do with the performance in October and what the trend says could happen in the month of November as a result.
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Whenever the Bitcoin price has closed October in the red, the subsequent month of November has always ended weakly as well. The last time that Bitcoin saw a red October close was back in 2018, and what followed was a 36.4% crash in November.
Given this, it is likely that the Bitcoin price does follow this trend, especially with major sell-offs from BTC whales. Naturally, a double-digit crash would mean that the Bitcoin price will crash below $100,000 for the first time in four months.
Featured image from Dall.E, chart from Tradingview.com
