A recent analysis published by Santiment examines the five-month downward trend in cryptocurrency markets and the potential impact of recent political developments in the US on digital assets.
The cryptocurrency market is going through a difficult period with five consecutive “red moons” that began after the peak of $126,000 in October 2025 and continued until the end of February 2026. However, recent data from Santiment suggests that the markets may have entered a turning point.
The most striking point on the agenda is the latest developments regarding the tariffs imposed by President Trump. According to the analysis, a 6-3 vote resulted in a potential reversal of many tariffs and refunds to affected companies.
The easing of these tariffs, which have acted as an “anchor” on cryptocurrencies since April 2025, is being described by market experts as positive long-term news.
Although a massive jump isn’t expected in the short term, analysts predict this development will ease pressure on the market.
Since its record high in October, the price of Bitcoin has lost an average of $10,000 to $15,000 each month. Analyst Brian Quinlivan describes this as a “slow and painful bleeding process” rather than a sudden collapse.
While small investors continue to buy every dip, institutional wallets (those holding 10-10,000 $BTC) appear to have sold off 0.5% of the total supply in the last five weeks.
Bitcoin’s correlation with the S&P 500 and gold continues; however, it is noteworthy that small declines in stocks inflict deeper wounds on Bitcoin.
Despite the pessimism in the market, the MVRV (Market Value to Realized Value) technical indicator suggests, according to analysts, that a “opportunity zone” has been entered. Bitcoin’s 30-day MVRV is below -6%, and its 365-day ratio is below -30%. Historically, ratios below 0 indicate that the average investor is at a loss and that the possibility of an upward “relief rally” is increasing.
Santiment analysts suggest that Bitcoin could move towards the $70,000 level in the coming days, but a sustained rise requires institutional investors to resume buying. On the other hand, the large influx of Bitcoin (approximately 5,000 $BTC) into exchanges also carries the risk of short-term selling pressure.
*This is not investment advice.
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