BTC Update: Chop, Chop, Chopping Wood. Don't get shaken out. BTC Update: Price is doing exactly what I was expecting after the prior expansion phase - chopping and grinding rather than resolving immediately. Despite the growing panic and bearish sentiment, the market has not seen a true downside flush yet. From a structural perspective, this still looks like a higher timeframe consolidation rather than a full trend breakdown.
On the weekly, BTC remains above major cycle support, and the recent weakness appears more corrective than impulsive. Historically, these types of ranges tend to resolve with one final liquidation move to reset positioning. I’m still watching for a sharp downside extension into the ~$70k region, which would represent a deeper test of higher timeframe demand and a more complete sentiment washout.
What stands out most right now is sentiment. Fear has escalated quickly relative to actual structural damage, which is typically what you see before a final flush, not after one. Until that move happens, I expect continued volatility and frustration as the market works through excess leverage.
Assuming a proper reset plays out, this would likely set the stage for a cleaner continuation higher into early next year. For now, patience is key - this phase is about letting the market finish its reset before the next sustained leg develops.
