Bitcoin (CRYPTO: BTC) has broken below the psychological $90,000 level, marking a break from its consolidation range that signals increased pressure on leveraged positions.
What Happened: In a recent podcast, prominent analyst Trader Mayne described the breakdown from the triangle apex as a decisive short-term development.
While the broader "Santa Rally" narrative remains intact on higher timeframes, he warned that the near-term path is likely to involve further downside as leverage is flushed out.
According to Mayne, the market is actively punishing excessive risk-taking.
The break to $87,000 cleared the first major support, but additional downside targets are still in play.
Ethereum (CRYPTO: ETH), however, continues to show relative strength.
ETH is holding key monthly demand zones, while the ETH/BTC pair trends higher. Mayne acknowledged the upcoming "Fusaka" upgrade as a potential narrative catalyst but stressed that technicals matter more than headlines.
"If we bounce here, everyone will credit the upgrade," he said. "In reality, price was simply ready to bottom."
Also Read: Bitcoin Stumbles Around $87,000 As Ethereum, XRP, Dogecoin Drop 5%
What's Next: Mayne sees a high probability of Bitcoin sweeping the $80,000 lows if U.S. equities weaken further, noting that a 2%–3% pullback in the S&P 500 could push risk assets into demand zones.
For now, the higher-timeframe downtrend remains in control.
Until Bitcoin breaks its diagonal resistance and reclaims key levels, bears retain the advantage.
Mayne advises patience over aggression: wait for either a liquidity sweep near $80,000 or a confirmed breakout before positioning.
Macro risks also loom.
This week's Bank of Japan policy decision could spark renewed unwinding of the yen carry trade if rates are raised, adding pressure to global risk assets just as U.S. non-farm payroll data is released.
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