Bitcoin’s latest flash crash could be a sign of a big bull advancing, says analyst

Is this the push BTC needs for a new run?

Furthermore, the asset ended January down 10%, becoming the fourth straight month to end in the red – more in line with bear market performance.

Now, however, analysts are rushing to give their opinion on the matter, and Merlijn The Trader believes there is a silver lining in the multi-billion dollar crisis that took place on Saturday.

EVERY MAJOR BITCOIN RALLY STARTS THE SAME WAY:

Brutal flush.
Broken trust.
Silent accumulation.

That’s when smart money comes into action.

Pain builds the launching pad.

Bitcoin is once again following the script. pic.twitter.com/fYa0GQLY73

— Merlijn The Trader (@MerlijnTrader) January 31, 2026

The popular analyst outlined BTC’s different nature from other asset classes and recalled its intense volatility. He explained that every major Bitcoin rally has started in a similar way: a brutal flush followed by broken confidence and silent accumulation.

The flush happened (again) yesterday, when BTC crashed, destroying the rest of the market. Trust has been definitively broken, as is evident from the Fear and Greed Index, which shows ‘extreme fear’. Recent reports claim that whales have begun to re-accumulate this asset.

He added that “pain builds the launch pad,” noting that BTC is now once again following the aforementioned script. In a separate note, the analyst outlined the significance of the $78,000 level, which could determine the next big move in the near term – either a “healthy correction” or a deeper sell-off towards the recent low.

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BITCOIN HAS ONE LEVEL THAT APPLIES NOW:

$78,000

This is the border between:
– Healthy correction
– Deeper range towards $76K

No emotion.
No stories.

Just price action determining the next move. pic.twitter.com/PjGORIBtN7

— Merlijn The Trader (@MerlijnTrader) January 31, 2026