Bitcoin’s Potential $70,000 Retracement: A Natural Phase in the Bull Market

Bitcoin (BTC) has faced a significant pullback, falling over 14% in the past week to close around $80,708. This drop was largely driven by investor disappointment after President Donald Trump’s March 7 executive order did not include direct federal Bitcoin investments or plans to create a Bitcoin reserve using cryptocurrency forfeited in government criminal cases. Despite the recent decline, experts argue that Bitcoin’s potential retracement to the $70,000 mark could be an organic part of the ongoing bull market.

A Macro Correction in the Bull Market

While the dip has stirred concerns among crypto investors about the early arrival of a bear market cycle, Aurelie Barthere, principal research analyst at Nansen, suggests that the market is simply undergoing a “macro correction.” According to Barthere, both cryptocurrencies and global markets are experiencing a natural phase of adjustment as part of a larger bull market.

Barthere points out that many cryptocurrencies have broken key support levels, making it difficult to predict the next major price levels. However, she believes that the next support range for Bitcoin will likely be between $71,000 and $72,000, the top of the pre-election trading range.

“We are still in a correction within a bull market,” Barthere explains, adding that the current market conditions—along with fears of recession, tariff uncertainty, and fiscal cuts—are all contributing factors.

Other analysts also predict a deeper retracement toward the low $70,000 range for Bitcoin, suggesting that this may serve as a solid foundation for a more sustainable recovery. Iliya Kalchev, dispatch analyst at Nexo, emphasized that this dip could potentially offer the stability needed for a future rally.

Arthur Hayes: A 36% Correction Is Normal for a Bull Market

Arthur Hayes, co-founder of BitMEX and chief investment officer of Maelstrom, reassured Bitcoin investors that a retracement to around the $70,000 mark is entirely within the normal price fluctuations of a bull market. Hayes pointed out that a 36% correction from Bitcoin’s all-time high of $110,000 would not be unusual for a bull market cycle.

In a March 11 post, Hayes said, “Be f***ing patient. $BTC likely bottoms around $70k. 36% correction from $110k ATH, very normal for a bull market.” He further predicted that after this correction, global central banks, including the Federal Reserve (Fed), People’s Bank of China (PBOC), European Central Bank (ECB), and Bank of Japan (BOJ), would begin easing monetary policies, potentially boosting Bitcoin’s price.

Hayes’ optimism is fueled by the historical impact of quantitative easing (QE) on Bitcoin prices. During the last period of QE, which began in March 2020, Bitcoin experienced an astonishing price surge of over 1,050%, rising from around $6,000 to $69,000 by November 2021. This was driven by the Fed’s decision to buy over $4 trillion in assets, such as treasuries, in response to the economic challenges posed by the COVID-19 pandemic.

The prospect of another round of QE could be a key driver for Bitcoin’s next leg up, should central banks decide to adopt similar policies again in the future.

Bitcoin’s Price Forecast for Late 2025

Looking ahead, analysts remain optimistic about Bitcoin’s long-term trajectory, with some forecasting that the cryptocurrency could reach prices between $160,000 and $180,000 by late 2025. While the short-term correction to the $70,000 range is anticipated, the overall outlook for Bitcoin remains bullish as macroeconomic factors shift.

Although Bitcoin is experiencing a short-term correction, market experts suggest that this is part of a healthy bull market cycle. A potential retracement to $70,000 could provide the necessary foundation for a more sustainable recovery. Investors are advised to stay patient and focus on the long-term picture, especially as central banks around the world may implement policies that could further boost Bitcoin’s value. With predictions for 2025 reaching into the $160,000 to $180,000 range, the future of Bitcoin looks promising.