According to pseudonymous analyst DonAlt, the growing number of public and private firms with BTC on their balance sheets could become a powerful source of selling pressure once the current bull cycle ends. Recent data from BitcoinTreasuries indicates that institutional and corporate holders now control more than 1.11 million BTC, currently valued at over $117 billion.

DonAlt believes these treasury holdings could make the next bear market as severe as previous cycles, including the 2018 crash when Bitcoin fell from $20,000 to $3,000. He maintains that once Bitcoin tops out this cycle, a 70% to 80% drawdown would not be unexpected.

The influx of institutional buyers has supported the market during the rally, but DonAlt cautions that the same entities could accelerate a sharp reversal through mass liquidation or profit-taking.

Despite this long-term concern, the analyst remains bullish in the near term. In a recent market analysis, DonAlt noted that a move below the $101,000 level could lead to a swift correction toward $95,000, or potentially even $90,000—an 11% drop from current prices. This support level, if broken, could signal the beginning of more aggressive downside momentum.

The analysis underlines a growing tension in the market: while institutional adoption has helped drive Bitcoin’s recent growth, those same players could pose significant risk during the next downturn. The role of treasury holders may become a defining factor in the structure and severity of Bitcoin’s future bear cycles.

The post Bitcoin Treasury Holdings Could Spark Next Bear Market, Analyst Warns appeared first on Coindoo.

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Filed under: Bitcoin - @ June 15, 2025 4:16 pm