Understanding Wyckoff Phase E
Bitcoin is currently undergoing what analysts identify as Phase E in the Wyckoff Market Cycle. This phase marks the climax of the markdown process, characterized by fear, capitulation, and widespread selling pressure. Historically, this is when markets experience their most intense declines — not necessarily due to worsening fundamentals, but because investor sentiment hits rock bottom.
In Phase E, we see panic-selling driven by emotional responses rather than logical analysis. It’s the stage where most retail investors throw in the towel, often too late. The irony? This is usually when long-term investors and institutions — often referred to as “smart money” — start buying again.
Final Shakeouts Before the Turnaround
This phase is crucial. The “final shakeout” is designed to flush out the remaining weak hands — those who bought high and can’t endure the emotional weight of seeing their portfolios dip. As these investors exit the market, savvy players step in quietly, accumulating assets at a discount.
This strategy plays out time and time again. It’s not magic — it’s market psychology. Those who recognize this pattern and remain steady often benefit from the subsequent rally. While it’s impossible to call exact bottoms, recognizing the signs of Wyckoff Phase E helps investors better prepare for what’s next.
BITCOIN: PHASE E CONFIRMED
— Merlijn The Trader (@MerlijnTrader) November 15, 2025
The Wyckoff blueprint played out to perfection.
We are now deep in Phase E where markdown turns to panic, and capitulation shakes out the weak hands.
This is the zone of final shakeouts.
This is where smart money quietly reloads…
While retail… pic.twitter.com/32T9K0nTGf
Will You Be Ready This Time?
The question isn’t whether the cycle will repeat — it’s whether you’re positioned to take advantage of it. Historically, after Phase E, the market enters a new accumulation phase, often leading to a fresh bull market. For those who remain level-headed and strategic, this stage can be a rare opportunity.
Now is the time to reassess, stay informed, and resist emotional decisions. Bitcoin Phase E is a test — not of knowledge, but of discipline.