Bitcoin Drops 12% From $124K Peak: Healthy Pullback or the First Crack in the Bull Market?

Bitcoin’s latest pullback, roughly 12% below its all-time high of $124,000 all-time high, has sparked debate over whether this is a natural correction or an early warning of deeper ￰0￱ data shows that the dip shows a maturing market where corrections reset leverage, not destroy ￰1￱ Cool-Off or Warning Shot The decline is larger than the immediate post-ATH dips seen in earlier runs but remains shallow compared with the 70%-80% drawdowns that have historically marked bear ￰2￱ to CryptoQuant, instead of pointing to a structural weakness, the move fits a pattern of controlled retracement within an ongoing expansion ￰3￱ early 2024, Bitcoin has notched a series of clear run-ATH increments, which means that the broader trend remains ￰4￱ the current scenario, technical levels indicate that as long as price holds above the $109,000-$110,000 support zone and the drawdown does not exceed roughly 15%, the base case favors consolidation and a potential retest of the $118,000-$122,000 ￰5￱ data also support this view as they show open interest starting to rebuild after a brief contraction, while funding rates remain within normal ￰6￱ found that these conditions typically come before renewed momentum rather than a capitulatory ￰7￱ the retail mania of 2017 or the explosive surge-and-crash of 2021, CryptoQuant said that the current Bitcoin cycle looks more ￰8￱ demand and spot ETF inflows provide steady upward momentum, while derivatives activity introduced periodic 10%-20% corrections.

“The key takeaway is that the market may experience a sequence of moderate 10%-20% pullbacks rather than a single, capitulatory crash.” Next Peak Won’t Arrive Until 2026 CryptoPotato had recently reported that several macroeconomic forces are reshaping Bitcoin’s once-reliable four-year ￰9￱ are now projecting the next major peak to arrive in 2026 instead of the typical 2024-2025 window. Historically, Bitcoin’s halving events have set the rhythm for market surges, but rising US interest rates and the maturity of corporate debt are altering that ￰10￱ Macro Investor founder Raoul Pal said that corporate bonds often follow 4-5.4-year maturities, which gradually influences economic slowdowns and extends the business ￰11￱ borrowing costs are squeezing consumers while Wall Street benefits from elevated bond yields, creating an environment where institutional liquidity outweighs retail ￰12￱ means Bitcoin’s price action is increasingly tied to monetary policy and global capital flows rather than purely halving-driven supply ￰13￱ a combination of longer debt cycles, restrictive rate policy, and strong institutional buying could delay the next euphoric top by at least a year.