The recent Bitcoin sell cycle just played out, and it clearly shook market confidence. Sharp downside moves always feel extreme in real time, especially when sentiment flips from optimism to fear very quickly.
But historically, Bitcoin tends to move in phases — expansion, distribution, correction, and then rebuilding. None of these phases feel comfortable while they’re happening. The correction phase is usually where leverage gets flushed, weaker hands exit, and narratives get reset.
This is often where longer-term structure starts forming again.
After major sell cycles in previous market periods, Bitcoin didn’t immediately reverse. More often, it entered a period of slower movement — sometimes sideways, sometimes grinding down — before momentum eventually returned. These phases usually feel “boring” or uncertain while they’re happening.
Right now, uncertainty is normal. Liquidity usually tightens after aggressive upside, and markets often take time to stabilize before any clear trend returns.
So the bigger discussion is about what typically follows a sell cycle.
Historically, major corrections have often acted as reset phases rather than cycle-ending events. Momentum, when it returned, usually came after patience was tested.
No one knows exact timing. No one knows exact bottoms.
But the pattern question is still worth asking:
Is this sell cycle just another reset before the next expansion phase… Or is this time structurally different?
Curious how others here are looking at this phase — recovery setup, extended consolidation, or something else?
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