Bitcoin price has taken another significant hit, crashing by 4.5%, dipping to $80,350 levels as the market sentiment turns notably bearish just ahead of the U.S. Consumer Price Index (CPI) data release this week. This most recent downturn has led to a broader crypto market crash over the past 24 hours, wiping out more than $170 billion in investors’ wealth. With this bearish trend in full swing, market analysts are now predicting that Bitcoin and the overall crypto market may face further challenges and volatility in the near future.

Bitcoin Price
Bitcoin Price Set to Fall to $75,000?
Once again, Bitcoin has come under intense selling pressure, after experiencing a strong rejection at the $92,500 mark. As a result, Bitcoin’s weekly losses have now extended beyond 11.15%. Renowned crypto analyst Ali Martinez highlighted that over $1 billion in Bitcoin long positions were liquidated today alone, signaling the extreme volatility and fragility currently plaguing the crypto market. The large-scale liquidations underscore the heightened fear and uncertainty among traders as the market struggles to stabilize.
Bitcoin Forms a Bearish Pennant Pattern: Peter Brandt’s Analysis
In a new technical analysis, veteran trader Peter Brandt has suggested that Bitcoin’s current price action confirms a bearish outlook for the cryptocurrency. Brandt’s chart analysis shows a series of critical technical developments, indicating that the current bearish trend may be far from over.
According to Brandt, the market has completed a double top formation, where Bitcoin reached peaks around $108,100. This was followed by the formation of a bearish pennant pattern. The pennant, in particular, was formed after a deep retest of Bitcoin’s previous high of $95,321. Brandt’s analysis suggests that the breakdown below the pennant confirms further downside pressure for Bitcoin, as the price action has already shown signs of weakening.
Despite finding temporary support around the $81,513 level, the completion of the bearish pennant pattern indicates a significant risk of further decline. Former BitMEX CEO Arthur Hayes also shares a similar sentiment, noting that Bitcoin could see additional pain ahead. Hayes commented:
“An ugly start to the week. Looks like $BTC will retest $78k. If it fails, $75k is next in the crosshairs. There are a lot of options OI struck $70-$75k, if we get into that range it will be violent.”
Will BTC Enter Bear Market After U.S. CPI Data Release?
Many market analysts believe that Bitcoin may be entering a prolonged bear market, as market sentiment continues to deteriorate, even in the face of the Bitcoin Strategic Reserve initiative. This new reserve, launched by the U.S. government, has so far done little to quell fears among investors, particularly as it has been focused on acquiring only confiscated Bitcoin. This indicates a lack of appetite for new acquisitions, leaving the market questioning whether there is genuine institutional support for Bitcoin’s long-term growth.
At the same time, institutional demand for Bitcoin has significantly dwindled. A stark example of this is the substantial outflows from Bitcoin exchange-traded funds (ETFs). Between March 3 and March 7, Bitcoin spot ETFs experienced a net outflow of $799 million, with Fidelity’s Bitcoin ETF (FBTC) contributing to $201 million of the total outflow. This highlights a growing sense of reluctance and pessimism among institutional investors.
All eyes are now on the U.S. CPI data for February, set to be released this week ahead of March 12. Analysts expect the data to reflect gradual progress in addressing inflation, a critical concern for policymakers at the Federal Reserve. Depending on the outcome of the CPI report, the Federal Reserve may decide to maintain a cautious stance, further complicating the outlook for Bitcoin and the broader crypto market. According to projections, the CPI, excluding food and energy costs, is likely to have increased by 0.3%, according to a Bloomberg survey of economists.
The results of the CPI report could have significant implications for Bitcoin’s future price trajectory, especially given the current market conditions. If inflation remains stubbornly high, we could see further downside pressure on Bitcoin, potentially pushing its price even lower as market participants brace for more uncertainty.