The first quarter (Q1) of 2025 – and the initial months of Donald Trump’s second presidency – hasn’t been going as many had hoped.

This is well exemplified by the fact that analysts went from setting their Bitcoin (BTC) price targets to $800,000 to wondering if the cryptocurrency bear market has started.

The first quarter (Q1) of 2025 – and the initial months of Donald Trump’s second presidency – hasn’t been going as many had hoped. This is well exemplified by the fact that analysts went from setting their Bitcoin (BTC) price targets to $800,000 to wondering if the cryptocurrency bear market has started.

Unfortunately for the bulls, indicators and signals hinting that BTC may be heading for a new ‘crypto winter’ have been piling up in recent trading, per the data compiled by the prominent on-chain analyst Ali Martinez.

Why Bitcoin may be entering a new bear market

Martinez explained that it is increasingly likely that Bitcoin is experiencing a macro trend shift, as indicated by the Inter-Exchange Flow Pulse, the Market Cap to Realized Cap (MVRV) Ratio, and the Market Cycle indicator, per a lengthy X thread, published on March 18.

The market cycle indicator suggests #Bitcoin $BTC is in the midst of a macro trend shift. Watch closely for the next big move! pic.twitter.com/mVsIYVMmwx

Combined, these factors all point toward the momentum of the world’s premier cryptocurrency turning bearish.

As backing factors, Ali Martinez provided data showcasing that capital inflows have dropped sharply – from approximately $135 billion in December to $4 billion on March 18 – with large investors selling into the market and whales recording substantial profit-taking.

#Bitcoin $BTC whales just cashed out! Nearly $260 million in profits booked.

Why Bitcoin’s fall may stop near $69,000

The analyst also opined that due to the number of positions entered near $69,000 – approximately 750,000 traders purchased 313,000 BTC – Bitcoin might find its next strong support zone between $67,000 and $69,000.

Still, history demonstrates that the world’s premier cryptocurrency could plunge below the support as it has tended to swiftly reach the 200-day simple moving average (SMA) – a level near $46,000 – after dropping below the 50-day SMA – close to $76,000 and above the nearest major support.

Historically, when #Bitcoin $BTC drops below the 50-week MA, it tends to test the 200-week MA. Right now, that’s at $75,500 and $46,000, respectively!

Martinez’s analysis hasn’t all been bearish. He also explained that some room remains for the continuation of the bull cycle: Should BTC reclaim $93,700, it would be well-positioned to soar toward a new high near $111,000, thanks to a significant rise in global liquidity that is evident despite the other bearish factors.

Is there a Bitcoin bull case for 2025?

At press time on March 20, Bitcoin appears to be testing the waters for a continued rally. After trading below $85,000 for approximately 10 days, it suddenly soared toward $87,000.

Despite this, the situation remains uncertain. Given the fact that BTC remains 12.66% down in the last 30 days, and that it had retraced from the latest high, it is possible the rally was a short-term effect of the SEC’s decision to drop its lawsuit against Ripple Labs.

Still, hope remains both due to Bitcoin’s historical performance indicating it should find its cycle high later this year – 12-18 months after its April 2024 halving – and because it hasn’t retraced fully and is changing hands at $84,935 at press time.