An aggressive Federal Reserve. Rising bond yields. Strategy Concerns (MSTR). bitcoin It already has many things against it. Now, an ominous chart pattern is adding to the uncertainty.
The pattern is called a bear flag, and a breakout could send the price of the largest cryptocurrency as low as $54,000 initially, according to pseudonymous trader Doctor Profit, who called BTC’s bull market peak at $126,000 and the subsequent sell-off.
“Bitcoin is now forming a huge bearish flag on the daily time frame,” the trader wrote on
Drawn on a graph, the pattern looks like an upturned flag on a pole. Here’s how it works: an asset drops sharply and then experiences a relief bounce. The slide represents the pole and the bounce becomes the flag. When the price falls below the lower end of the flag, the sell-off deepens, and the downward movement is approximately the same size as the initial drop.
