Bitcoin closed the week of June 5, 2026 down nearly 20%, the highest percentage drop in a single week since the FTX crash in November 2022. The last time the market saw a candle this red, it was during the bottom of the cycle.
But this time, The current setup is more complex, as Bitcoin interacts with… A combination of institutionalism Selling pressure, weak ETFs, and fading confidence after a failed recovery attempt above $82,000.
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Bitcoin decline brings back FTX comparison
Bitcoin price movement in the first week of June It was one of the most Notable weeks in history. Bitcoin opened the week at $73,760, rose briefly to $74,092, then fell to As low as about $59,130According to TradingView data.
The move translates into a decline of about 19.5% from the weekly open to low and 20.1% from high to low, making it the worst weekly percentage drop for Bitcoin since the FTX crash in 2022, when the price fell by about 22% in one week.
However, there is also a note about where the candle appears in the market structure. During the FTX crash, the violent weekly move came after months of selling pressure and ended up near the bottom of the eventual bear market. The current decline also appears after Bitcoin He had already lost a major Part of its value is from an all-time high in October 2025 above $126,000.
At the time of writing, Bitcoin is trading at $62,150, putting it about 50.7% below that peak. The similarity does not guarantee that the market has bottomed, but it does increase the likelihood of a recent weekly price collapse Moves to The type of final washout area that followed the FTX collapse. This angle is overlooked by many analysts, especially with so many forecasts It still indicates a long time A bear market that could extend until at least the fourth quarter of 2026
Bitcoin enters at an undervalue
Darkfost cryptocurrency analyst He pointed out that Bitcoin It has now fallen below 4% in Bitcoin Porkopolis’ power law quantile regression model. The chart puts Bitcoin’s current value at around 3.9%, meaning the asset is trading in an area that has emerged during less than 4% of historical price action compared to its long-term growth curve.
The power law model is a long-term evaluation model that can also be used to signal a reversal. Every previous instance in which the Quantitative Oscillator reached this level, visible in the chart across 2015, 2018/2019, and the 2022 low, was preceded by notable multi-year recoveries.
Regression of Bitcoin’s power law. Source: @Darkfost_Coc on X
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Bitcoin could remain undervalued for longer than traders expect, especially if momentum is weak and there is forced selling. However, the gauge shows that Bitcoin is now much closer to the lower regression bands than the frenzied upper bands of the previous cycle tops.
Featured image from Pexels, chart from TradingView
