On December 26, 2025, Jan3 founder Samson Mow said on X that 2025 was Bitcoin's bear market, setting up a potential bull run into 2035. Analyst PlanC backed the view, while others warned October's $125,100 peak might mark a cycle top. Bitcoin trades around $87,200, down nearly 9% year-to-date, according to CoinMarketCap.

On 27 December 2025, Bitmain, one of the largest Bitcoin mining hardware manufacturers, sharply reduced prices across several generations of its ASIC machines, including higher-efficiency models. The company is promoting discounted bundles, hosted mining offers, and flexible sales terms as many operators see mining revenues fall below breakeven and cut back on new equipment purchases.

Japanese researchers report that Bitcoin’s large price moves can be anticipated by using AI to scan blockchain transaction networks instead of traditional market data. Their findings emerge as listed firms such as ANAP and Metaplanet significantly increase their Bitcoin treasuries, while analysts note that recent price drops highlight the role of investor psychology and liquidity rather than halving alone.

On 26 December, Bitcoin fell 2.22% to around $86,000, shedding nearly $3,000 in 45 minutes and triggering about $70 million in long liquidations, yet overall liquidations stayed limited and sentiment remained in the fear zone. Throughout 2025, derivatives positioning has cooled notably and exchange balances have dropped by roughly 15%, suggesting leverage has reset while long-term holder conviction remains comparatively firm and could support a constructive setup heading into 2026.

Swan Bitcoin CEO Cory Klippsten said in a recent CNBC interview that Bitcoin's current consolidation between about $85,000 and $91,000 signals a healthier market structure after its rise toward $126,000. He argued that fading four-year cycle dynamics, together with expanding institutional and government demand, give Bitcoin more than a 50% chance of setting a new all-time high above $125,000 in 2026 despite recent weakness in Ethereum and Solana.

Bitcoin has retreated from its nearly $126,000 peak to around $87,400 amid selling pressure, but several market signals now suggest a possible rebound in the first half of 2026. Structural exhaustion patterns, improving liquidity conditions, and sustained spot accumulation may support a multi‑week recovery and a move back toward previous highs.

Bitcoin set a new all‑time high above $126,000 in early October 2025, then slid after the October 10 crash with roughly $19 billion in liquidations. Since then, BTC has fallen over 30% and sits below $90,000. Ali Martinez’s cycle framework suggests a 364‑day bear phase with a potential October 2026 bottom near $37,500.

At Russia's State Council meeting on 25 December, Vladimir Putin was reported to have discussed U.S. interest in using a stake in the occupied Zaporizhzhia Nuclear Power Plant for large-scale cryptocurrency mining. The plant, controlled by Russia since March 2022 but still operated by Ukrainian engineers, has become a potential bargaining chip in territorial talks and could support major mining farms if ever fully restored, despite currently being shut down.