Bitcoin has experienced significant strain following its largest decline in history, as highlighted by market analysts. Recent price movements have cooled after a rapid drop, with traders closely monitoring key levels to forecast future trends.

MACD Indicator Hits Record Low

Michaël van de Poppe, a market analyst, observed that Bitcoin’s recent downturn resulted in a new record low for the 3-day MACD indicator. He remarked, “This decline is steeper than the 2022 Luna crash, the COVID crash of 2020, or the bear market of 2018.”

Quote: "#Bitcoin has encountered its most substantial crash ever. The 3-Day MACD has never plummeted this low before; it outstrips the losses seen in previous downturns."
— Michaël van de Poppe (@CryptoMichNL) January 8, 2026

The MACD, a momentum-tracking indicator, has declined further than in any prior cycle, reflecting a stark fall from highs near $126,000 in October 2025 to just above $85,000 recently. Currently, Bitcoin is trading around $90,000 according to CoinGecko data.

Despite the extent of this drop, the chart still displays a sequence of higher lows compared to previous bear market baselines, maintaining a level of long-term bullish structure, yet short-term sentiment persists in caution.

From over $94,600 on Monday, Bitcoin slid below $89,300 on Thursday, typically oscillating within the $85,000 to $90,000 range. This holding pattern has lasted several weeks, indicating a pause in selling while a clear directional trend remains elusive.

Furthermore, Van de Poppe characterized the current market scenario as one of “boredom,” indicating Bitcoin’s stability above the 21-day moving average. He reassured, “There’s nothing to panic about if support holds.” His analysis suggests prices hovering around $90,500, coupled with a rising trendline underneath, which gives bulls a chance to defend their position.

Key Levels for Bitcoin to Monitor

Bitcoin currently resides in a neutral corridor. For an upward trend, prices need to exceed $92,000; failing to reclaim this level could see values fall to approximately $88,000, where a CME gap needs addressing.

Analyst Ali Martinez expressed caution, stating:

Quote: “Bitcoin needs to stay above $87,200 to avert a potential drop toward $69,230.”

His daily chart suggests a rising triangle configuration, yet a recent failure at $92,750 poses a risk. A breach beneath the lower trendline may invalidate this pattern and shift market sentiment negatively.

Some market observers attribute the tight price range to dealer hedging strategies, with significant players reportedly selling into price surges while buying on dips, consequently sustaining Bitcoin’s trading confinement between $90,000 and $95,000, facing robust resistance near the $100,000 threshold.