The primary concern for investors is determining whether an asset has reached its lowest point after an extended period of decline.
Recent trading activity indicates that Bitcoin (BTC) may have found its floor just above $76,000 on March 10. This movement has created a pattern reflecting past bottoming scenarios.
During this latest downturn, Bitcoin fell by 30% from its peak of $109,000 reached on January 20. After hitting a low on March 10, it established higher lows on either side of that date—approximately $78,000 on February 28 and just over $81,000 on March 31—resulting in a triangular bottom formation.
A comparable pattern emerged during the yen carry trade unwinding in August 2024, when Bitcoin bottomed close to $49,000 on August 5. Higher lows were once again observed on both sides: on July 7 and September 7.
Another significant moment was during the launch of U.S. spot Bitcoin ETFs in January 2024. Bitcoin encountered a 20% correction, hitting a low slightly below $40,000 on January 23, also with higher lows on either side of that date.
Omkar Godbole, managing editor of CoinDesk Markets, highlights indicators that Bitcoin could be nearing a bottom and observes the development of a bullish framework. “The current pattern, which shows a transition from lower lows to higher lows and signifies seller fatigue, is reminiscent of bottoming patterns from August and early 2024,” he notes.
“There is reason to entertain the potential for renewed bullish momentum—however, as always, external threats like Trump’s tariffs could affect the trajectory,” adds Godbole.
