Bitcoin Price Analysis: BTC Inches Towards $90,000 But Fundstrat Warns Of Major Correction
The cryptocurrency market edged higher over the weekend as Bitcoin (BTC) held its position above $88,000. The flagship cryptocurrency briefly dipped to a low of $87,870 early on Sunday before rebounding and moving to $88,606, up almost 1% over the past 24 hours.
Meanwhile, Fundstrat has warned of a massive Bitcoin correction to $60,000 by mid-2026, citing weakening demand indicators.
Arthur Hayes Believes Bitcoin (BTC) Will Reclaim $124,000
BitMEX co-founder Arthur Hayes has said the Federal Reserve’s Reserve Management Purchases (RMP) program is “QE in disguise” and predicted that liquidity could drive Bitcoin higher. Hayes believes the flagship cryptocurrency will trade between $80,000 and $100,000 in the near term, before reclaiming $124,000 and potentially crossing $200,000. According to Hayes’s accounting analysis, the RMP purchases short-term Treasury bills from money market funds, redeploying the proceeds into repo markets or longer-dated Treasuries. Hayes stated,
While RMP purchases are technically smaller in absolute magnitude than past QE programs ($40 billion monthly), the structural mechanism creates equivalent monetary expansion.
Speaking about Bitcoin, Hayes predicted price action will remain between $80,000 and $100,000 in the near term. However, the BitMEX co-founder expects a significant jump once the market fully understands RMP’s quantitative easing nature. Hayes predicts Bitcoin will reclaim $124,000 and possibly move towards $200,000 by mid-2026.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) remains in positive territory over the weekend, looking to retest the $90,000 ceiling. The flagship cryptocurrency reached an intraday high of $89,365 on Friday before settling at $88,092. Price action remained positive on Saturday with BTC rising to $88,324. The flagship cryptocurrency is up 0.30% during the ongoing session, trading around $88,571.
While Hayes is optimistic about Bitcoin, Fundstrat has advised clients to prepare for a major Bitcoin price correction to $60,000 in the first half of 2026. Fundstrat Head of Digital Asset Strategy, Sean Farrell, outlined a base case for a 2026 correction, predicting a drop to $60,000 for Bitcoin. Fundstrat had previously predicted that Q4 2025 would be bullish, setting a price target of $150,000 for BTC. However, the flagship cryptocurrency has remained below $90,000, indicating demand is fading, and bearish signals are growing. Wu Blockchain noted in a post on X,
According to Kuai Dong, Tom Lee’s fund, Fundstrat, stated in its latest 2026 cryptocurrency strategy advice to internal clients that a significant correction is expected in the first half of the year, completely contradicting Tom Lee’s public statements. The internal report sets target prices at </span></i><a href="https://coinstats.app/coins/bitcoin/"><b><i>BTC</i></b></a><i><span style="font-weight: 400;"> $60,000-$65,000.
Farrell made a similar prediction for Ethereum, stating it could slip below $2,000. The crypto sleuth highlighted that the prediction contradicts Fundstrat founder Tom Lee’s public statements. Lee said last week that Ethereum at $3,000 was severely undervalued, and has predicted a move to $15,000 for the world’s second-largest cryptocurrency. Wu stated,
This comes just moments after Tom Lee stated at Binance Week that Ethereum at $3,000 is severely undervalued. He previously predicted Ethereum would reach $15,000 by the end of 2025.
BTC started the previous week in positive territory, rising 0.28% to $90,653. Buyers retained control as the price reached an intraday high of $94,640 before settling at $92,690, ultimately increasing 2.25%. However, it lost momentum on Wednesday, dropping 0.71% to $92,035. The price fell to an intraday low of $89,257 on Thursday as selling pressure intensified. However, it rebounded from this level to reclaim $90,000 and settle at $92,542. The price returned to bearish territory on Friday, dropping 2.45% to $90,278.
Source: TradingView
Price action remained bearish over the weekend with BTC registering a marginal drop on Saturday and 2.31% on Sunday, slipping below $90,000 to $88,171. Sellers retained control on Monday as the price fell 1.99% to $86,417. Despite the overwhelming selling pressure, BTC recovered on Tuesday, rising 1.66% to $87,854. The price briefly crossed $90,000 on Wednesday and settled at $90,336. However, it failed to stay at this level and settled at $86,209. BTC reached an intraday high of $89,447 on Thursday before losing momentum and settling at $85,460. The price recovered on Friday, rising over 3% to $88,092. Price action has remained positive over the weekend, with BTC registering marginal increases on Saturday and Sunday and settling at $88,684.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.