Bitcoin Reclaims $70K as Experts Signal a BTC Bottom

Bitcoin has risen over the $70,000 threshold, giving markets hope that the market meltdown may be coming to a close. Since the end of January 2026, the largest cryptocurrency by market cap has continued to experience a drawdown because of macro uncertainties, ETF outflows, and risk-off sentiments. Nevertheless, a recent evaluation by Galaxy Research and Bitwise indicates that the market could be moving into the late phase of its correction.

Critical Bitcoin Support Levels

Galaxy Research analyst Alex Thorn is of the opinion that Bitcoin is currently near long-term technical zones. Such have been key accumulation areas in the past.

He said the realized price is currently in the range of $56,000. Concurrently, the 200-week moving average is at an average of around $58,000. Both levels have been significant bottoms in earlier bear markets.

There was also a significant supply gap as pointed out by Thorn between between $70,000 and $80,000, where relatively few coins were traded. Such a narrow ownership area may allow prices to revert to lower demand regions before building a strong and sustained recovery.

Although there are short-term risks, Thorn pointed out that the same levels have historically provided entry points for long-term investors. Veteran trader Peter Brandt reckons that the Bitcoin lows will not extend to the limit of his expectations.

According to Brandt, BTC may experience the banana peel drop by repeating previous cycles. Hence, it may drop below $42,000, which represents a critical support zone. Earlier, Brandt stated that BTC will not drop below $54,000.

Bitwise Says Peak Fear Is Common Market Bottoms

Even though Galaxy cited technical risks, Bitwise Asset Management sees an indication that sentiment is very low. Thus, suggesting close proximity to significant bottoms.

In a new report, Bitwise also contended that the current state is very close to the anxious stages of the 2018 and 2022 bear markets. These stages ultimately preceded massive gains.

Bitwise CIO Matt Hougan wrote that prices have been weak. However, he added that the fundamentals are improving, citing the rising stablecoin use, tokenization growth, and increased integration of AI and crypto as long-term positives.

The company has observed that investors who bought Bitcoin during the 2018 lows have already recorded gains of almost 2,000%. In addition, investors who bought at the 2022 bottom are already up by more than 300%.

Bitwise believes that the market will not jump out of a bottom, but will “grind out a bottom.” Nevertheless, the company is optimistic that another rally may be triggered by catalysts like crypto regulation advancement or a fresh ETF inflow.

Hougan previously said that the continued demand in the ETF market can lead to a Bitcoin shortage. He clarified that even though BTC ETFs are buying more than the new amount being issued. But this has not had any significant effect on the price of the prominent digital asset.

Hougan also stated that the crypto market was at risk of losing the possibility of triggering a bull run, if the CLARITY Act is not passed. He claimed that the bill must be allowed to pass to put the industry in a much friendlier environment.