Bitcoin (BTC) experienced a sharp drop to around $84,000 on Monday, reigniting fears of an upcoming market downturn. This decline coincided with the weakening yen carry trade and China’s crackdown on cryptocurrency, according to mainstream media. However, technical analysis suggests that this dip was a result of Bitcoin becoming overbought, requiring a reversal impulse. Market makers may have strategically utilized these fear stories to further push prices down and wipe out leveraged longs for an estimated $833 million. Analysis of the short-term chart hints at a potential bottom formation. A combination of two descending trendlines and a horizontal resistance level led to a price pullback around $7,500, suggesting it was more influenced by technical factors than broader macroeconomic events like Japan or China’s crypto crackdown.