Will Crypto End 2026 With a Bearish Downturn Despite Positive Economic Signals?

Despite positive macro indicators like tax refunds and potential $2,000 checks, the crypto market faces a period of hesitation. Traders are showing weak conviction despite strong factors suggesting a bull run in 2026. Short positions worth almost $3 billion could trigger a short squeeze leading to a surge in prices toward $100,000. However, this may not reflect genuine bullish sentiment due to traders’ short covering rather than genuine buying power. While market activity points towards a bearish cycle, strong institutional investments and a favorable economic outlook keep the crypto landscape uncertain.