Bitcoin has recently slipped below the critical threshold of $63,000, trading at $62,945 late Tuesday. This decline extends a prolonged correction that has seen the leading cryptocurrency lose nearly 50% of its value since reaching peaks in October 2025.
In a recent discussion on the Charles Schwab Network, John Haar, Managing Director of Swan Bitcoin, addressed the perplexing situation where rising institutional adoption contrasts sharply with falling prices. “We need to acknowledge that most did not foresee a 50% drop in price,” Haar remarked. He expressed the frustration felt by many Bitcoin enthusiasts, given the numerous positive developments occurring in the background.
Haar highlighted substantial institutional investments that seem to contradict the bearish market conditions. “Whether it”s Harvard owning half a billion dollars” worth of Bitcoin, or Middle Eastern sovereign wealth funds holding similar stakes, big moves are being made,” Haar pointed out. He also mentioned that Vanguard is now allowing its clients to invest in Bitcoin ETFs after a lengthy period of hesitation. “These developments are significant and would have been hard to believe just a few years ago,” he added.
When asked about the disconnect between positive news and negative price action, Haar attributed the issue to the derivatives market rather than mere spot selling. “Many participants in the Bitcoin market are highly leveraged speculative traders,” he explained. “When their positions go wrong, leverage can lead to rapid and significant market movements.” He suggested that the swift decline from the highs of $127,000 was primarily due to these leveraged traders being caught off guard and facing forced liquidations.
Despite the current turmoil, Haar remains optimistic about the long-term outlook for Bitcoin, noting how previous price corrections have established progressively higher floors. “About three and a half years ago, Bitcoin plummeted to $16,000; before that, it fell to $3,000. Now, we see a downturn to around $65,000,” he stated. “I believe that in a few years, it will correct to a higher level.”
Venture capitalist Vinny Lingham has emphasized the importance of the $60,000 mark as a pivotal point in the current market. He warned that a dip below this level could signify a shift from recovery to a full-scale market capitulation. This scenario could have serious implications for major holders like MicroStrategy, which could see its stock price drop significantly in such an event.
