The Bitcoin market is poised to close the year on a negative note, marking one of its most disappointing fourth-quarter performances in recent memory. Yet, optimism surrounds 2026 as many anticipate a potential turnaround. Recent analyses indicate that Bitcoin might be heading toward a more pronounced correction before any substantial recovery takes place.
Could BTC Retrace to $73,000 in Early 2026?
On December 20th, quantitative trader CryptoOnchain shared new perspectives regarding Bitcoin’s price dynamics via the X platform. The analyst highlighted that current trends lean towards bearishness due to persistent selling pressures visible on price charts.
CryptoOnchain pointed out that Bitcoin’s value is currently hovering near its Point of Control (POC)—a critical level representing the highest trading volume over a specific timeframe and often acting as strong support or resistance.
The expert further explained that Bitcoin’s inability to swiftly reclaim previous highs increases the probability of it dropping below this POC zone and approaching the $70,000 to $73,000 range. This area corresponds with last cycle’s peak and serves as an essential “support flip,” where buyers are expected to intervene decisively.
Additionally, CryptoOnchain emphasized that divergences seen in the Relative Strength Index (RSI) reinforce expectations for Bitcoin’s decline toward this support band between $70K and $73K. The analyst advised traders to monitor reversal signals closely around the $72,000 mark.
However, maintaining strength within this crucial zone could be vital for preventing deeper corrections or prolonged bearish phases. Essentially, preserving this “support flip” is key for BTC’s ability to sustain its long-term upward trajectory and uphold broader market trends.
Earlier in the year’s first quarter, BTC dipped below $75,000 amid global financial turbulence initially sparked by emerging trade tensions. Revisiting these levels may feel familiar yet would represent nearly a 20% drop from current valuations—an adjustment investors should prepare for accordingly.
A Snapshot of Current Bitcoin Pricing
At present writing time, Bitcoin trades near approximately $88,330 with minimal movement recorded over the past day.
Featured image courtesy of iStock; chart sourced from TradingView