K33 Research suggests Bitcoin's recent 36% drop from its all-time high indicates a psychologically oversold condition, potentially signaling a prime buying opportunity for long-term investors. While BTC has underperformed the NASDAQ for much of the past month, exhibiting increased correlation with the US stock market, its sharper declines and weaker rebounds during market fluctuations suggest persistent selling pressure. According to K33 Research, the surge in spot trading volume when BTC dipped below $60,500, coupled with a net outflow of 62,000 BTC from spot ETFs, reflects temporary market panic. This, combined with policy changes differentiating this cycle from previous ones, bolsters the case for long-term investment. However, analysts advise caution against deploying all funds at once, citing high open interest in the perpetual futures market and BTC's tendency towards W-shaped recoveries. A staggered approach is recommended to mitigate risk. ```