Bitcoin and the aggregated crypto markets have been facing a significant amount of pressure from sellers as of late, which has driven BTC’s price to below $10,000, putting the cryptocurrency’s recent bullishness in grave jeopardy.
Analysts are now noting that a similar fractal pattern to the one that occurred through the course of the 2018 bear market is currently unfolding, which could mean that BTC is heading towards $7,600 in the near-future.
Bitcoin Dips Below $10,000 as BTC’s Bears Incur Significant Strength
At the time of writing, Bitcoin is trading down nearly 4% at its current price of $9,950, which is down significantly from its daily highs of nearly $10,400.
This bout of negative price action was first sparked last week when BTC sharply moved up to highs of $11,000 before being swiftly rejected and began plummeting towards its current price levels.
Importantly, this bearish price action signals that bulls, despite their attempt to push Bitcoin past $11,000, do not have significant strength at the moment, which could spell trouble for the cryptocurrency in the days and weeks ahead as it continues forming lower lows.
Josh Rager, a popular cryptocurrency analyst on Twitter, spoke about Bitcoin’s bearish price action in a recent tweet, explaining that it may target $8,975 next should the selling pressure continue to grow in strength.
“$BTC looks to be creating lower-highs and lower-lows on the daily chart. Marked are the open and support areas based on the weekly chart with previous support possibly flipping to resistance. If confirmed, watching the next weekly support at $8975 as a potential target,” he said.
$BTC looks to be creating lower-highs and lower-lows on the daily chart
Marked are the open and support areas based on the weekly chart with previous support possibly flipping to resistance
If confirmed, watching the next weekly support at $8975 as a potential target pic.twitter.com/yG2WO2yrzX
— Josh Rager 📈 (@Josh_Rager) July 23, 2019
BTC’s Bearish 2018 Fractal May Be Playing Out
Further contributing to the current negative market sentiment is the possibility that Bitcoin is currently in the process of validating a similar fractal pattern to the one that was formed in the 2018 bear market, which could mean that its price will visit $7,600 next.
Chonis Trading, another popular crypto analyst, spoke about this possibility in a recent tweet, explaining that this fractal pattern could lead its price down to $7,600 in the near-future.
“$BTC – If the 2018 Bear market ‘fractal” continues to play out in a obviously similar pattern to today then #bitcoin is on its way to Number 8,” he explained while referencing the below chart.
$BTC – If the 2018 Bear market ‘fractal” continues to play out in a obviously similar pattern to today then #bitcoin is on its way to Number 8 pic.twitter.com/O9o4c5jwpM
— Chonis Trading-⚔️ (@BigChonis) July 22, 2019
Although it still remains somewhat unclear as to whether or not this pattern will actually be validated in the days and weeks ahead, it does seem to be fairly certain that BTC will continue facing strong selling pressure in the near-future.
Featured image from Shutterstock.