$BTC Interesting. When comparing this bear market to the previous one, I noticed some remarkable similarities.

Both times, an extreme selloff was followed by a sharp rejection, leaving behind a capitulation wick.
After that, price ranged for a while before breaking out to the upside, triggering euphoria and convincing many that the bottom was in and the bear market was over.
That’s what you call a bull trap.
Eventually, both times, price dumped “out of nowhere,” liquidating most longs and sweeping the lows above the capitulation wick.
That’s where we are now.
But what happened next in 2023?
Back then, after the sweep, a very choppy phase in the market began, likely sweeping both shorts and longs and triggering confusion on both sides about where prices would go.
Only after that did price sweep the capitulation wick and continue lower before eventually forming the bottom.
If this pattern continues to play out in a similar way, we can expect extremely choppy and difficult price action over the upcoming weeks.
Of course, history doesn’t have to repeat exactly, but the similarities in market structure so far are compelling.