Bitcoin has recorded its second-worst fourth-quarter performance in history, experiencing a 22.8% decline in Q4 2025. Despite maintaining a price above $85,000, the cryptocurrency is struggling amid bearish market sentiment. Analysts highlight thin liquidity and a significant options expiry on December 26 as potential catalysts for increased volatility. Options analyst David anticipates a sharp price movement post-Christmas, predicting Bitcoin will trade between $85,000 and $90,000. Meanwhile, CryptoQuant has issued a warning about declining demand for Bitcoin, suggesting the possibility of a deeper bear market with a potential bottom around $56,000.