🕵️♂️📊Is Bitcoin price at risk of falling? Experts analyze the head and shoulders pattern
Since the beginning of the year, predictions for the price of Bitcoin have been endless. Although many experts expect the top cryptocurrency to continue its historical price trend in 2024, there are also views that Bitcoin's value has peaked in the current cycle.
On the social media platform X, analyst Ali Martinez made a significant bearish prediction for the price of Bitcoin, pointing out that the price of Bitcoin may be at risk of a sharp correction to around $78,000 in the coming weeks. This is why a strong closing price above $100,000 is a key factor in stopping the decline.
Ali's bearish prediction is based on the formation of a head and shoulders pattern on the 4-hour price chart. The head and shoulders pattern is a technical analysis pattern characterized by three different price highs, including a higher "head" between two lower "shoulders".
And this head and shoulders pattern usually indicates a potential bearish reversal, meaning that the price may change from an uptrend to a downtrend. The reversal of this trend can be confirmed when the price falls below the neckline connecting the troughs between the heads.
Recently, the price of Bitcoin tested the neckline near $92,000 before rebounding to above $98,000. However, the current trend of Bitcoin price seems to be returning to the neckline position of $92,000.
Ali pointed out that if the price of Bitcoin falls and successfully breaks below the neckline, then Bitcoin may pull back to $78,000, which is nearly 20% lower than the current price. However, if Bitcoin can close strongly above $100,000, the current bearish setup will be invalidated, and the market leader may resume bullish momentum and potentially set new highs.
According to TradingView data, as of now, the price of Bitcoin is just below $98,000, down only 0.34% in the past 24 hours and up nearly 5% in a week.
💬 What do you think about this price correction that Bitcoin may face? Do you think the price of Bitcoin will fall below $78,000 or break through the $100,000 mark? Leave your insights and predictions in the comment area!
