"Bitcoin decline is not a 'cycle end' but a 'healthy correction'"

An analysis said Bitcoin (BTC)'s recent plunge is not a market collapse but a 'healthy correction' process that is liquidating excessive leverage.

On the 21st (local time), Cointelegraph reported that Glassnode said in a report, "Bitcoin fell from 115,000 dollars to 104,000 dollars over four days from October 14, but this is a normal phase in which the market relieves overheating."

It went on to explain, "The share of short-term holders has increased and speculative capital is leading the market," and "the current market has shifted to a defensive phase focused on capital preservation rather than profit-seeking." According to the report, Bitcoin open interest (OI) has decreased by about 30%, greatly reducing the market's risk of further liquidations.

Samson Mow, CEO of Jan3, said, "Bitcoin remaining in the 100,000–200,000 dollar range is like a 'testing ground' for investors with weak conviction"FK and "This correction does not mean a cycle failure." He went on to stress, "Bitcoin will soon add one more zero. Investors should not be shaken by temporary declines."