Bitcoin may find bear market bottom in August: 10x Research

cointelegraphPublished on 2026-08-03Last updated on 2026-08-03

Abstract

Research firm 10x Research suggests Bitcoin could confirm a bear-market bottom in August if it achieves a monthly close above $63,000, which would turn several of their technical indicators bullish. While their analysis was prepared with Bitcoin trading at $63,140, a slight gain from July's close could trigger this signal. The report cites steady Federal Reserve rates as a base case but notes risks from potential rate hikes and geopolitical conflict. Additional selling pressure is expected from miners and treasury companies. Grayscale's research head separately suggested Bitcoin may have bottomed earlier than the traditional four-year cycle, with macro conditions being the primary price driver. Other indicators, like over half of Bitcoin's supply being held at a loss and a record balance held by long-term investors, are also seen as signs a market bottom is approaching.

Bitcoin could confirm a bear-market bottom in August with a monthly close above $63,000, according to 10x Research.

Markus Thielen, founder of 10x Research, said in a Monday report shared with Cointelegraph that Bitcoin closed July below the threshold needed to confirm a technical bottom.

A monthly close near $63,000 would turn several of 10x Research’s cycle indicators bullish. Bitcoin was trading at $63,140 when the analysis was prepared, meaning a relatively small gain from July’s closing level could trigger the reversal signal. The company said it continued to favor long positions but would shift to a neutral stance if Bitcoin broke key support levels and moving averages.

The base case is that the Federal Reserve holds interest rates steady. However, further increases in the 10-year Treasury yield could force a September rate hike, while the Iran conflict remained an unpredictable risk.

The report said miners could generate roughly 100,000 BTC of selling pressure as some miners shift their businesses toward artificial intelligence. The company said it expected additional supply from Bitcoin treasury companies unwinding positions, though it described macroeconomic conditions as the larger risk to the market.

Bitcoin monthly relative strength index (RSI) chart. Source: 10x Research

Separately, Grayscale head of research Zach Pandl said in a July 22 report that Bitcoin may have bottomed earlier than the traditional four-year cycle would suggest. That pattern would place the cycle low in September or October.

Pandl said macroeconomic conditions, including Fed policy, would remain the primary drivers of Bitcoin’s price and could determine when it bottoms.

Related: Strategy-led group pledges $15M to quantum-proof Bitcoin network

More indicators point to an approaching Bitcoin bottom

Earlier in July, crypto brokerage K33 said more than half of Bitcoin’s supply was held at a loss, which it described as another indication that a market bottom was approaching.

Bitcoin during periods when 50% of supply was held at a loss, with subsequent annual returns. Source: K33

Bitcoin bottomed within 13 to 31 days of the same threshold being reached in 2017, 2018 and 2022, according to K33.

In a June interview, Swan Bitcoin CEO Cory Klippsten told Cointelegraph that long-term holders’ record balance of 14.7 million BTC was another indication that Bitcoin was nearing a bottom.

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Related Questions

QAccording to 10x Research, what condition would confirm a bear-market bottom for Bitcoin in August?

AA monthly close above $63,000 in August would confirm a bear-market bottom, according to 10x Research.

QWhat two factors did 10x Research mention as potential sources of selling pressure for Bitcoin?

A10x Research mentioned that miners could generate selling pressure by shifting to AI businesses, and that Bitcoin treasury companies unwinding positions could add additional supply.

QWhat is the primary driver of Bitcoin's price according to Grayscale's head of research, Zach Pandl?

AZach Pandl stated that macroeconomic conditions, including Federal Reserve policy, are the primary drivers of Bitcoin's price.

QWhat indicator did crypto brokerage K33 cite in July as a sign of an approaching Bitcoin market bottom?

AK33 cited that more than half of Bitcoin's supply was held at a loss as an indicator that a market bottom was approaching.

QWhat did Swan Bitcoin CEO Cory Klippsten identify as another indication that Bitcoin was nearing a bottom in a June interview?

ACory Klippsten identified the record balance of 14.7 million BTC held by long-term holders as another indication that Bitcoin was nearing a bottom.

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