Recent market fluctuations, particularly the drop below $100,000 on October 10-11, have dampened investor optimism in the cryptocurrency sector. While Geoffrey Kendrick, head of digital asset research at Standard Chartered, anticipated a short-term decline following Bitcoin’s recent surge to $135,000, escalating trade tensions between the US and China triggered a widespread sell-off, dropping prices from their peak of $126,000. Kendrick highlights that this market slump is likely temporary, presenting an opportunity for long-term investors to potentially secure their position before the onset of a bullish cycle. His insights on potential bottoming signals include: 1) Capital flow between gold and Bitcoin – The simultaneous sale of gold and Bitcoin’s brief recovery may indicate a significant shift in investor sentiment, suggesting Bitcoin has reached its bottom point. 2) Changes to US Federal Reserve liquidity policies – Kendrick suggests that the Fed’s potential halt in monetary tightening could improve market conditions for Bitcoin to regain its footing. 3) Technical indicators – Sustaining above its 50-week moving average throughout 2023 is a strong indicator of a long-term upward trend, suggesting continued bullish prospects despite short-term volatility.