Terpin Warns of Possible Bitcoin Drop to $40K Amid Transition from Autumn to Winter

Michael Terpin, an early Bitcoin investor, believes the cryptocurrency may not have yet reached its cycle bottom. He warned of a possible drop to $40,000 in an interview with Cointelegraph.

Terpin compared the market phases to the four seasons, stating that the current downturn is transitioning from autumn to winter. This implies that the worst may still be ahead for Bitcoin's price.

The lack of a full capitulation suggests that further downside is possible, according to Terpin. He noted that typical market bottoms do not rebound quickly and that this cycle has not yet fully emerged.

Terpin mentioned spot Bitcoin ETFs and Strategy's (formerly MicroStrategy) ongoing purchases as supportive factors, but believes they may not prevent a further decline. The launch of these spot ETFs has opened the door for mainstream investors to gain exposure to Bitcoin without directly holding the asset.