Bitcoin Faces Prolonged Downtrend Through 2027, | Crypto News
Bitcoin’s market cap has dropped to roughly $1.46 trillion, pushing it below a number of major technology firms and commodities in global asset rankings.
Gold Holds Top Spot As BTC Slides
Gold stays the world’s most beneficial asset at practically $31 trillion, with Nvidia, Apple, Alphabet, Microsoft, Amazon, TSMC, Broadcom, Saudi Aramco, Tesla, and Meta Platforms all ranked above Bitcoin.
The drop displays mounting stress on the cryptocurrency from a number of fronts — including rising inflation, geopolitical battle, and weakening investor sentiment.
Ki Young Ju, chief government of crypto analytics firm CryptoQuant, now says the bear market might stretch into early 2027. His evaluation is based on an on-chain profitability model that tracks how long investor losses sometimes drag on once profit-taking begins to unwind.
Once profit-taking cascades, Bitcoin traders’ PnL sometimes falls for about 18 months.
Since the development turned in Oct 2025, the bear market might last until early 2027.
The development only modifications when unrealized income rise and realized income fall. We’re not there yet. pic.twitter.com/fQyIRLu8vv
— Ki Young Ju (@ki_young_ju) May 29, 2026
According to Ju, the decline in investor income began in October 2025. He argues the development has adopted a roughly 18-month sample seen in earlier downturns, pointing to comparable cycles in 2014, 2018, and 2022.
Bear Market Clock Started In October 2025
The CryptoQuant PnL Index Signal — a chart that measures investor profitability utilizing 365-day transferring averages — reveals the indicator rolling over after hitting a peak last yr.
Ju posted the chart on X, noting that a recovery will only be confirmed when unrealized income rise while realized income fall. That shift has not occurred yet, he said.
Bitcoin was trading close to $73,289 at the time of the report, down barely over a 24-hour period. Data from CoinGlass reveals complete open curiosity in the derivatives market fell to around $55 billion, while liquidations over the same period hit close to $224 million.
Long Traders Take The Brunt Of The Damage
Long positions bore the majority of those losses. Over $30 million in bullish bets have been worn out in 24 hours, in contrast to around $17 million in short liquidations. Despite those figures, the long-short ratio on major exchanges including Binance and OKX still leans bullish.
Broader macroeconomic situations are including to the stress. US PCE inflation climbed to 3.8% year-over-year in April, and Fed price hike odds have risen sharply in response.
Reports point out that tensions between the US and Iran have also rattled global markets, with risk sentiment across crypto persevering with to weaken.
Featured image from Pexels, chart from TradingView
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