Bitcoin (BTC) experienced a notable dip overnight, echoing a wider market selloff led by a slump in tech stocks due to concerns over DeepSeek’s more efficient artificial intelligence model. Bitcoin tumbled from a Sunday high of $105,000 to just under $98,000 before bouncing back to a price just below $100,000. This sparked fears of a more significant pullback, but some analysts, including Geoff Kendrick, global head of digital asset research at Standard Chartered, see this as a buying opportunity.

Kendrick had previously warned of a potential 10%-20% correction due to heightened expectations surrounding U.S. President Donald Trump’s crypto executive order and strategic reserve. In his Monday report, Kendrick noted that the recent dip likely resolved much of this overinflated optimism in the market.

Despite potential headwinds from upcoming U.S. tech earnings reports and the Federal Reserve’s meeting on Wednesday, Kendrick observed that a rapid decline in U.S. Treasury yields, with the 10-year note nearing 4.5%, suggests that the downward pressure may be nearing its end.

While the Trump administration’s crypto-related actions may not yield immediate price gains, Kendrick believes these initiatives will help support institutional flows into the digital asset space over the coming months.

Analysts at LondonCryptoClub echoed this view, calling the selloff a typical overreaction to negative news, particularly regarding DeepSeek. They argued that market dips like these are often indicative of local lows during a larger bullish trend.

“In a market like this, where derisking is often swift and indiscriminate, it’s still a ‘buy the dip’ opportunity,” they said.

At the time of writing, bitcoin had fallen by 4% to $99,800, while the tech-heavy Nasdaq 100 saw a 3% drop, with Nvidia (NVDA) leading the charge with a 15% decline.