Jan 22, 2026
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Bitcoin Faces Potential Free Fall After Erasing 2026 Gains
Bitcoin (BTC) has fallen to a three-week low of $87,263 amidst significant market volatility and geopolitical tensions. The cryptocurrency had been trading between $90,000-$96,000 but has retraced 10% in the past week.
- BTC has erased its 2026 gains, briefly falling below its yearly opening.
- A retest of November lows may occur if bearish momentum continues.
- A two-month bear flag structure is observed on BTC’s daily chart, indicating potential further breakdown.
- Analysts suggest that losing current levels may lead BTC back to $80,000 or lower.
- Market observers draw parallels with early 2022 price action, suggesting a possible major correction ahead.
- Two key differences from 2022: BTC has not retested the 50-week and 200-week Moving Averages yet, and the timing suggests a final breakdown later in Q1.
Currently, BTC is trading at $89,890, showing a 1.2% increase over the last day. Analysts advise caution as key supports are tested, despite the possibility of a short-term pump above $100,000.
