Bitcoin slide and credit stress fuel bottom debate
BTC has fallen for weeks while US junk-bond spreads widen, and traders are split on whether a bottom is in.
Confirmed
- BTC has fallen for weeks while US junk-bond spreads widen
- CCC-rated and lower US corporate bond spreads hit 13.3%, near the highest since 2020
- Those spreads are up 490 bps since January
Not yet known
- Whether Bitcoin has reached a bottom; traders are split
- Whether capitulation has happened yet; one trader says it has not
- Whether the Nasdaq selloff resembles August 2024, as one equities analyst suggests
- Whether the chart analysis signals are reliable; the views are opinion, not confirmed signals
What we know
An on-chain-style chart analysis notes BTC has declined steadily since late October and pushed below global liquidity. Spreads on CCC-rated and lower US corporate bonds hit 13.3%, up 490 bps since January and near the highest since 2020. One trader says there has been no capitulation yet, while another buyer is deploying capital and others warn against 'cycle low is in' calls. An equities analyst compares the Nasdaq selloff to August 2024. The views are opinion, not confirmed signals.
Will Bitcoin dip to $55,000 by December 31, 2026?
Traders' bets on Polymarket, not a forecast by Global Eye 24. Polymarket · $8.0m traded · updated 21:51 UTC
What people are posting
Posts on X this story draws on. They are individual users' views and have not been verified by Global Eye 24.
“Spreads on CCC-rated and lower US corporate bonds are up to 13.3%”
View post →“declining steadily since the end of October”
View post →“no capitulation. No real wiping out of accounts”
View post →By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.