04.04.2026 12:51
## Bitcoin's Current Decline: A 50% Correction, Not a Bear Market, Argues Scott Melker
Recent searches for "Bitcoin going to zero" are generating significant buzz, but according to prominent crypto analyst Scott Melker, this very sentiment is precisely *why* he's strategically increasing his Bitcoin holdings. In a recent interview featured on Binance’s "Inside the Blockchain 100," Melker, known as the "Wolf of All Streets," powerfully argues that the current market downturn deviates significantly from established bear market patterns. He posits that the present cycle operates under distinct principles, rendering traditional bearish predictions potentially inaccurate. The report, sourced from internet resources, highlights a crucial divergence from historical precedent.
Melker contends that Bitcoin's rapid ascent to its all-time high of $126,000 in early 2025 was premature, fueled by influxes of Exchange-Traded Funds (ETFs) before broader market maturity. This unprecedented surge occurred without the typical hallmarks of a robust bull run: a significant altcoin season or a pronounced "blowoff top." Furthermore, the peak didn't even achieve the historically predicted 3-4x increase over the previous all-time high, despite expectations. "The cycle is largely broken," Melker asserted. He challenges the prevailing narrative of an impending 85-90% price decline, questioning the rationale for such a drastic drop when the preceding upside was disproportionately limited.
Drawing a parallel to the summer of 2021, when Bitcoin experienced a 55% correction from $65,000 to $28,000 before rebounding to a new all-time high, Melker suggests a similar scenario is unfolding now. The current pullback from $126,000 mirrors this percentage decline. If this pattern continues, the prevailing narrative of a bear market may be unfounded, transforming this period into a painful but ultimately temporary pause. The confluence of several key indicators strongly suggests that Bitcoin may be nearing a market bottom.
Melker has identified four critical signals that reliably precede cycle bottoms, and he states that all four are currently aligning. The weekly Relative Strength Index (RSI) on the Bitcoin chart has reached historically low levels, even falling below the readings observed in 2022. The Fear & Greed Index has plummeted to its lowest reading on record, reflecting extreme market pessimism. The surge in "Bitcoin going to zero" searches on Google underscores this pervasive anxiety. Finally, Bitcoin is rapidly approaching the 200-week moving average, a level historically associated with significant buying pressure and trend reversals.
