Bitcoin continues to show weakness amid bearish technical patterns and significant liquidations in the market.
Bearish Patterns on Bitcoin's Chart
In recent days, two bearish signals have emerged on Bitcoin's chart, highlighted by analyst Captain Faibik: a rising wedge breakdown and a Power of Three (PO3) formation. Bitcoin (BTC/USDT) is currently trading below a critical trendline near the $115,000 mark, signifying waning bullish momentum. If this trend continues, the likely target for a correction is around $105,000 to $106,000, representing a 9.64% drop from current levels.
Liquidations and Market Pressure
In the past hour, Bitcoin has seen liquidations totaling $2.82 million, making it the second most liquidated asset after Ethereum (ETH), which recorded $7.81 million in liquidations. Most of these liquidations were on long positions, indicating that traders were betting on a price rebound that didn’t occur. This spike in liquidations coincides with Bitcoin's decline below key support levels, further adding to the sell pressure.
Current Price Levels and Forecasts
At press time, Bitcoin is trading at $114,847.21, marking a daily decline of 3.34%. The price has dropped from an intraday high near $118,670, reflecting strong bearish momentum. Immediate support is found near $114,000. If Bitcoin fails to hold this level, further declines may accelerate towards the $105,000 range. On the upside, resistance lies near $118,500; reclaiming this level might neutralize bearish sentiment and open the door for a potential recovery.
The current situation in the Bitcoin market highlights uncertainty and pressure brought on by bearish signals and liquidations. Investors should closely monitor price changes and potential support levels.
