This bearish technical pattern hints at a double digit drop in Bitcoin price

1. Technical analysis predicts double-digit drop in Bitcoin price According to the article,a technical indicator called the head-and-shoulders pattern has formed on the Bitcoin price chart. This pattern suggests that the price of Bitcoin may experience a significant drop in the coming days. The article explains that the pattern is formed when a peak is followed by a higher peak,which is then followed by a lower peak - forming a head and two shoulders. The neckline of the pattern is the support level,and if it is broken,it could lead to a strong bearish momentum for Bitcoin,potentially resulting in a double-digit drop in its price.

2. The outlook for altcoins The article highlights that while the Bitcoin head-and-shoulders pattern is bearish,the outlook for altcoins may be more positive. The article notes that some altcoins have been performing well recently,particularly those related to decentralized finance (DeFi) and non-fungible tokens (NFTs). The article suggests that investors who are concerned about the potential drop in Bitcoin's price may want to consider diversifying their holdings into some of these altcoins instead.

3. The impact of regulatory uncertainty Finally,the article touches on the impact of regulatory uncertainty on the cryptocurrency market. The article notes that regulatory crackdowns in China and the United States have led to increased volatility in the market,with prices of cryptocurrencies being particularly sensitive to negative news and rumors. The article emphasizes that ongoing regulatory uncertainty could continue to impact the market in the coming weeks and months,and suggests that investors should keep a close eye on any regulatory developments that could impact their investments.



source https://titdoi.com/news/This-bearish-technical-pattern-hints-at-a-double-digit-drop-in-Bitcoin-price