In the midst of one of Bitcoin’s sharpest pullbacks of the year, a renewed sense of optimism is beginning to take shape. Standard Chartered believes that the recent sell off, which has seen Bitcoin correct by around 30% from its highs, may now be reaching a point of completion and could set the stage for a recovery rally before the year ends. Geoffrey Kendrick, Global Head of Digital Asset Research, Standard Chartered, has suggested that the downturn is more of a natural cycle correction rather than the start of a sustained bearish phase, based on how Bitcoin has performed over the last 2 years.

Signal Indicate a Possible Market Turning Point

On November 18, 2025, through a client note, Kendrick stated that the latest decline in Bitcoin fits into a recurring pattern seen during the current market cycle. According to Kendrick’s note, he pointed out that several valuation and sentiment measures have dropped back to levels normally observed when the market is close to forming a bottom. 

From what is understood, one of the clearest examples is Strategy’s (formerly MicroStrategy) modified net asset value ratio, which compares the market value of the company with the up-to-date value of the Bitcoin it holds. Reportedly, the figure has returned to around 1.0, suggesting that the market is now valuing the firm in line with its underlying assets, a condition often associated with the final stages of a sell-off. 

Moreover, Kendrick specified that numerous other indicators have fallen to unusually low readings, signalling that sellers may have already exhausted their positions. From what is understood, this shift has taken place even as overall activity in the crypto market surged, with daily trading volumes more than doubling and close to $335 million in Bitcoin derivatives liquidated in a single day. Despite the volatile presence, Kendrick maintains that his central expectation remains a recovery heading into the end of the year.

Conclusion

As the broader crypto market navigates heightened volatility, the current environment provides a meaningful reminder of how sentiment can shift rapidly during maturing market cycles. The data presented reinforces the importance of looking beyond immediate price swings and focusing on structural trends that continue to unfold beneath the surface. Whether the projected rebound materializes or not, the coming weeks are expected to play a key role in shaping investor confidence and dictating Bitcoin’s momentum moving into the new year. 

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