NewsBTC recently reported a startling prediction from an on-chain analyst, BladeDeFi, who’s raised alarms about a potential market peak for Bitcoin (BTC) and a sharp downturn for altcoins.
As Bitcoin and the expansive crypto market show early indicators of recovery from recent corrections, BladeDeFi’s declaration on X (formerly Twitter) suggests that the market might already have hit its peak. The analyst issued a warning about a possible steep drop, forecasting a difficult summer for the crypto community.
In his alarming post, BladeDeFi stated, “crypto has already PEAKED” and projected a possible dip in which altcoins could plummet by up to 95%. He noted that most indicators are in the red, hinting at a significant market downturn looming.
According to BladeDeFi, Bitcoin has already reached its all-time high early in this cycle, and is currently caught in a “slow-motion downtrend,” with each bounceback weaker than the previous one.
He identified an alarming trend of retail investors running out of steam, while larger institutional players are exiting the market. Big firms like BlackRock, Fidelity, and MicroStrategy are reportedly diversifying their investments and hedging their bets, often without publicizing their actions.
Furthermore, BladeDeFi criticized current market dynamics, cautioning that sudden price surges or “green candles” are usually misleading, luring late buyers into traps that lead to additional losses.
He highlighted that without new capital inflows—like fresh stimulus or significant investment—recent price spikes lack sustainability. The lack of liquidity implies any upward movements are likely transient, and the overall trend remains downward.
Additionally, echoing the bearish sentiment, another analyst, Peppeso, expressed similar worries, suggesting that the peak of the 2025 bull market might already be set.
Peppeso studied historical patterns in previous market cycles, noting that while bull markets have lengthened, bear markets have become shorter and lesser in impact. Despite this, Bitcoin has consistently reached all-time highs in the last months of each cycle, reinforcing Peppeso’s expectation of a peak around November or December 2025.
The current market context is further complicated by macroeconomic factors, including rising interest rates and increasing geopolitical risks. With uncertainty muddying the waters, many investors are adopting a risk-off approach, leading to a prolonged downtrend in the crypto market.
Even popular memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) have suffered significant declines of 9% and 7% respectively in the past week alone, indicating that the excitement around these assets is waning.
