The cryptocurrency market is facing noticeable correction amid escalating geopolitical tensions, particularly between Israel and Iran. Bitcoin, as the leading cryptocurrency, has also declined and fallen below the key level of $100,000.
Market Correction in Cryptocurrencies
The situation in the cryptocurrency market has worsened due to increased geopolitical risks, leading to price declines. Bitcoin dropped over 3% and fell below the $100,000 mark, losing the level it recently reached near $110,000 this month.
Technical Pattern Analysis on Bitcoin Chart
The daily chart indicates that Bitcoin is forming a classic bull flag and pole pattern. The pole was created by a sharp price increase from late May to early June, and the current descending consolidation forms the 'flag'. Today's price action has pushed Bitcoin down to the descending support trendline near $98,600, which is a critical zone for bulls. If this level holds, the pattern will remain valid.
Bitcoin's Outlook in the Near Future
If bulls defend the $98,600 level, Bitcoin could rise towards the descending resistance line near $108,000, potentially confirming the bull flag breakout and resuming the uptrend. Conversely, if the support fails, further declines are possible, with the next major support sitting around $94,000.
Given heightened volatility due to global conflict and market uncertainty, traders should closely monitor daily candle closes around the $98K region to understand the next price movement.
