Bitcoin’s crash to just under $60,000 meant that the asset had lost over 53% of its value since the all-time high marked in October last year. Although this correction is not as painful as previous cycles, some analysts seem convinced that BTC has either bottomed or is very close to it.

Michaël van de Poppe cited on-chain metrics signaling the bear market’s end could be around the corner, while Merlijn The Trader said, ‘Bitcoin looks dead,’ which could be the necessary catalyst for a major price revival.

One More Flush?

Merlijn compared this cycle to the ones from 2012, 2016, and 2020. In each, BTC’s price had remained calm and suppressed for months after a big correction that wiped out half or more of its value. Once the overall sentiment had dumped to new lows, the asset’s rally began, resulting in massive gains and a subsequent all-time high.

Consequently, he predicted that it’s ‘good’ that “Bitcoin looks dead right now,” as this is how every cycle bottom has felt in the past. However, he envisioned another flush before the eventual “moonshot.”

In a separate post, the analyst highlighted BTC’s electrical cost: the metric showing how much it costs, on average, to mine one unit. He noted that the cryptocurrency has fallen to that level now for just the fifth time in 11 years. All four previous occasions have “marked a historic bottom,” and “every single one launched a massive rally.”

Indeed Bottomed Out?

Michaël van de Poppe also speculated that BTC’s bottom during this cycle could already be here. He explained that many on-chain indicators are “signaling what we clearly want to see at these ranges: a bottoming formation on BTC.” One of those is the Puell Multiple, which has dropped to one of its lowest levels in the cryptocurrency’s history at 0.65.

Nevertheless, the analyst cautioned that the asset could still consolidate at these levels for months or dip slightly lower. However, BTC has already been sideways between $60,000 and $80,000 since the early February crash, which is a “pretty long period of consolidation, and if this current correction doesn’t go deeper, there’s no clear argument to say that the bottom isn’t here.”

Source: CryptoPotato