Berachain (BERA) is facing a potential short-term downtrend from both a fundamental and technical perspective. Here are the key aspects.
Potential Downtrend for Berachain (BERA)
A Head and Shoulders pattern on the 4-hour chart signals a potential bearish shift. If the decline continues, BERA could experience a 21% drop by mid-April 2025.
Technical Analysis: Bearish Pattern Formation
The Head and Shoulders pattern began forming on 21 March 2025 and is expected to complete by 5 April. BERA encountered strong resistance around $9, with potential support at $6.5 and a deeper decline to $5.3 possible.
Strategic Moves for BERA Holders
Traders can hedge potential losses using put or call options. Put options with a strike price near $5.3 minimize downside risk. If prices stabilize above $6, hedging costs remain low.
Berachain's long-term prospects remain strong due to high liquidity reserves and a completed ecosystem.
