Bitcoin's 41.5% Drop May Signal Market Bottom, Analyst Warns

Crypto analyst Murphy has conducted an on-chain analysis of Bitcoin's 2025 purchases, revealing that over 4.77 million BTC are now in loss after a 41.5% decline from its December 2024 peak.

This significant drop is comparable to previous bear markets, with the 2018 market witnessing a 62% fall and the 2022 market experiencing a 51% decline.

Murphy suggests that if historical patterns hold true, the market may be nearing a bottom when the decline reaches around 50% to 60%. Additionally, slowing sell pressure since February could indicate easing selling pressure, potentially reducing further sharp declines.