A cryptocurrency analyst has predicted another massive Bitcoin price collapse that could send the major cryptocurrency below $85,000. with that weak performance Price action has been visible over the past few months. signs of fatigueAnalysts predict the next major support level will be more than 33% below the all-time high.
Analyst analyzes chart signaling Bitcoin price collapse.
TradingView crypto expert ‘EliteGoldAnalytic’ released A new chart study of Bitcoin’s next selling move warns that the cryptocurrency’s downtrend may not be over yet. The analyst’s analysis highlights key support levels where he believes Bitcoin could crash to current levels. downward momentum It lasts.
EliteGoldAnalytic describes the price structure on the chart as starting with a weak high, a technical condition that often reflects the availability of liquidity before a reversal. A weak high appears near the summit. Bitcoin’s recent rally This suggests that buyers may have been swept away before the momentum completely shifted. This pattern is steadily forming lower highs, which suggests: Developing a bearish structure.
In his view, the analyst explains that a short-term bias becomes relevant only after a bearish trend is clearly identified. According to the Bitcoin price chart, this confirmation could include a minor break in support below the weak high and a retest of that level. EliteGoldAnalytic also noted that a bearish rejection through deep action or a strong bearish close would strengthen the temporary argument. Bitcoin price crash.
Although the analyst’s analysis is just an interpretation of the chart and not a trade call, Bitcoin’s price structure still suggests the possibility of a retracement in the following situations. Increased sell-side pressure.
How can the price of Bitcoin fall?
In TradingView charts, EliteGoldAnalytic outlined the following important areas: Bitcoin’s next bearish move. The first area to watch is the potential “target level” shown by the purple area above $85,000. Analysts consider this level to be an area of demand or imbalance. If Bitcoin reaches and maintains this target, it could serve as the first checkpoint before the market decides. Modify it downward or push it higher.
Just below the $85,000 area, there is a “strong support level” at $84,000, highlighted in blue on the chart. EliteGoldAnalytic predicts that Bitcoin could fall to this $84,000 support area. Analysts suggest that this level is a final retracement target and could potentially represent a significant pool of liquidity that could attract buyers if prices fall.
A decisive decline towards this level reflects a decline of more than 6% from current levels above $89,000. This move also signals the completion of the downward movement implied by the chart structure. Over the past 24 hours, the price of Bitcoin has fallen by about 3%. This means that the plunge to $84,000 will be even longer. continued decline.
Featured image from Unsplash, chart from TradingView
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