Background Analysis

Bitcoin (BTC) is currently trading at approximately $63,687, reflecting a modest 24-hour gain of +0.35%. However, beneath the surface of this seemingly stable price action, a more ominous picture is emerging from Galaxy Research—one of the most respected institutional crypto research firms on Wall Street.

In a comprehensive cycle analysis published on June 13, 2026, Galaxy Research analyst Alex Thorn outlined a sobering thesis: Bitcoin's network cost basis now stands at just 43.7% of its all-time high, a metric historically correlated with cycle bottom formations. Based on this framework, the firm projects a baseline bottom range of $40,000 to $46,000, representing a potential drawdown of approximately 28%-37% from current levels.

In a more severe "deep washout" scenario, Galaxy's model does not rule out a retest of the $30,000-$31,000 zone—levels not seen since the 2022 bear market trough. This scenario, while considered extreme, cannot be dismissed given the macro headwinds currently pressuring risk assets globally.

Multi-Party Perspective Comparison

Galaxy Research: Using a network cost basis model tied to miner economics and realized cap cycles, Galaxy positions $40K-$46K as the fair value bottom. Their framework is built on historical cycle data stretching back to 2011.