Katie Stockton, the founder of Fairlead Strategies and a prominent technical analyst, recently appeared on CNBC’s “Squawk Box,” where she shared insights into the current state of global markets and highlighted key technical levels for Bitcoin.
Stockton emphasized that while the stock market rally is ongoing, she has issued critical warnings for Bitcoin investors regarding both short-term and long-term prospects.
In her evaluation of Bitcoin’s technical situation, Stockton observed an upward shift in support levels. She indicated that what was once considered a crucial support zone around $80,600 has now elevated to between $84,000 and $85,000 based on Fairlead’s “cloud pattern” indicator.
The analyst remarked that Bitcoin’s positive response to its rebound from oversold conditions suggests a more favorable outlook in the near term.
However, despite these short-term recovery signs, Stockton pointed out notable declines in Bitcoin’s monthly charts. She noted that momentum indicators are trending downward and predicts potential challenges for the cryptocurrency market as it approaches 2026. According to her analysis, there is a risk that Bitcoin may experience extended periods of sideways movement or even decline instead of rising further.
Addressing recent volatility in Bitcoin prices, Stockton argued that historical losses—such as an 80% drop—remain theoretically possible. Although increased participation from institutional investors is anticipated to stabilize volatility over time, she cautioned that the market has yet to achieve this level of maturity. Consequently, any sustained loss of momentum could lead to heightened volatility within the market environment.
*This does not constitute investment advice.