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$BTC At $55,000? 🩸📉 Is This Confirmed 100%❓
Many are saying that $60,000 and $55,000 are the next stops. What is the reason for this, and what is the second possibility you should keep in mind?
As seen on the first chart, this is the weekly timeframe chart of Bitcoin, where we can see the formation of a bearish 'Head and Shoulders' pattern. Since
$BTC has broken below the neckline, many analysts are calculating the target and aiming for $55,000.
Additionally, on the daily chart, we see the formation of a 'Bearish Flag' pattern, which is also a bearish continuation signal.
Both are common patterns, and a target of $55,000 is accurate according to technical analysis. However, it is important to remember that Bitcoin is not a small-cap altcoin or a simple project; its high liquidity and institutional backing mean it often defies standard chart patterns.
This is Bitcoin, and it isn't just retail traders and whales anymore; there are now major institutions and massive companies like MicroStrategy and BlackRock involved.
So, while the technical analysis is correct, we must also consider a second scenario. When everyone expects the same outcome, there is a high probability that the market will move in the opposite direction.
If you look closely at the third chart, you can see one more pattern: a 'Falling Wedge.
Whenever the price touches the resistance, it gets rejected, and whenever it touches the base, it bounces. Currently,
$BTC is holding exactly above the pattern's base; therefore, there is a high probability of a bounce back toward the $80,000 to $85,000 resistance level—and even more upside if we see a decisive breakout.
Therefore, we need to keep this bullish scenario in mind as well, rather than focusing solely on the bearish outlook like everyone else is doing.
Key levels to watch: $85,000 for a breakout and $72,000 as critical support.
Let's see which patterns play out! If you found this helpful, feel free to hit 'like'!
#BTC #TechnicalAnalysis