“We expect Bitcoin to drop to $88,700 before beginning its next rally,” said Geoff Kendrick, digital assets strategist at Standard Chartered. He noted that the decline is linked to U.S. Treasury term premiums, which have temporarily weakened Bitcoin’s role as a hedge asset. However, he predicts Bitcoin will reach $125,000 by the end of the year and $200,000 by 2025.

Among the factors influencing the market, Kendrick highlighted the expiration of options. “Bitcoin is expected to test the $85,000–$88,700 range, where most of the open interest is concentrated,” he added.

Meanwhile, institutional interest in cryptocurrency continues to grow: Bitcoin ETFs are seeing inflows, and MicroStrategy has increased its reserves, confirming strong confidence from major investors.

Kendrick sees the current drop as a temporary correction that is part of a long-term upward trend.