Cathie Wood Says Bitcoin’s Down Cycle Is Likely Over

Bitcoin is currently trading at $88,383, near multi-month lows as volatility cools, but some long-term bulls argue the worst of the drawdown may already be behind the market. ARK Invest CEO Cathie Wood said this week that Bitcoin is pretty well through the down cycle.

She also described the recent decline as potentially the shallowest four-year cycle pullback in Bitcoin’s history. Moreover, her comments arrive at a time when price action remains subdued and sentiment cautious.

Even as institutional narratives and long-term adoption trends continue to strengthen in the background, markets are wondering if this consolidation is a base or just a pause before further downside.

Cathie Wood Reiterates Long-Term Bullish Outlook

Wood’s remarks are consistent with ARK Invest’s long-standing view that Bitcoin follows a four-year cycle driven by halvings, liquidity conditions, and adoption curves.

ARK has repeatedly argued that each cycle has produced higher lows over time. Additionally, drawdowns are becoming less severe as the asset matures and institutional participation grows.

Wood has emphasized that Bitcoin’s volatility should be viewed through a long-term lens rather than as a short-term trading signal.

Moreover, she pointed to the expanding financial infrastructure and Bitcoin’s role as a scarce digital asset as factors that support higher long-term valuations even during corrective phases.

In that context, Wood’s claim that the market is moving past the down cycle reflects confidence that structural demand remains intact despite short-term price weakness.

Technical Structure Defines the Path Forward

From a technical perspective, Bitcoin is still in a consolidation phase rather than a confirmed reversal. Additionally, the price pulled back from late 2025 highs and is currently trading in the mid-to-high $80,000 range.

On higher time frames, Bitcoin continues to hold above major long-term trend indicators, including rising weekly moving averages that have historically defined cycle support.

A constructive scenario would see Bitcoin hold current support and begin forming higher lows on the daily chart. Furthermore, reclaiming the $97,000 level on strong spot volume would likely signal that the consolidation phase has resolved to the upside.

A less favorable outcome would involve a loss of current support and a move toward deeper demand zones, which could extend consolidation and delay any trend continuation.

Cathie Wood’s conviction reflects confidence in the long-term cycle, while the charts suggest the market is still working through its next move. To actually know if this level marks a bottom, it will depend on how price responds as volatility returns.

Bitcoin Price Today

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