Bitcoin has been on a downward trajectory, recently falling below the $90,000 mark. Analysts at CryptoQuant are now ready to officially call it: Bitcoin (BTC) has entered a bear market. The sentiment among investors is growing increasingly cautious as various factors contribute to this bearish outlook.

The current price of Bitcoin is around $88,064, reflecting a minor decline of 0.04% over the last 24 hours. Other cryptocurrencies are also experiencing fluctuations, with Ethereum (ETH) priced at $2,972.80 and a slight increase of 0.42%. BNB, XRP, and several others are similarly navigating the volatile waters of the crypto market.

Several reasons are being cited for this bearish trend. Analysts point to a combination of macroeconomic factors, regulatory scrutiny, and overall market sentiment as significant contributors. With rising interest rates and inflation concerns, many investors are pulling back from riskier assets, including cryptocurrencies.

Moreover, the ongoing regulatory discussions surrounding the crypto space are creating uncertainty. Governments worldwide are actively considering how to regulate digital currencies, which has led to a cautious approach among investors. The fear of potential restrictions and regulations is causing many to reconsider their positions, leading to significant sell-offs.

Market sentiment also plays a critical role in the current bear market. The once-optimistic outlook for Bitcoin has shifted, with many investors now adopting a more pessimistic view. This shift in sentiment has been amplified by various external factors, including the ongoing economic challenges and geopolitical tensions.

In addition to these market dynamics, the technical analysis of Bitcoin's price action points to bearish signals. Key support levels are being tested, and a sustained break below these levels could lead to further declines. The average trading volume has also decreased, indicating waning interest from both retail and institutional investors.

As the market continues to grapple with these challenges, analysts advise investors to remain vigilant. For those already invested in Bitcoin, it may be wise to assess their portfolios and consider risk management strategies. While some see this as a potential buying opportunity, others may choose to wait for clearer signs of a market recovery.

In summary, Bitcoin's recent downturn has raised concerns among investors and analysts alike. The combination of macroeconomic factors, regulatory uncertainty, and shifting market sentiment has led to the conclusion that Bitcoin has officially entered a bear market. As always, staying informed and closely monitoring market developments will be crucial for navigating the ever-evolving landscape of cryptocurrency.