Market analyst Tony Severino has expressed concerns regarding the current Bitcoin price trends on the weekly chart. This observation comes as the leading cryptocurrency trades below $110,000, with forecasts suggesting it could dip further below the critical $100,000 threshold.
Bitcoin Price Exhibits Bearish Pattern On Weekly Chart
Severino noted in an X post that Bitcoin’s price might be shaping into an Evening Star pattern on the weekly chart, a development he finds concerning. He pointed out that this pattern is emerging right at the Bollinger Band basis line, approximately at $111,600, occurring during the tightest BB squeeze recorded in BTC’s history.
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The market analyst previously indicated that the Bitcoin price’s weekly Bollinger Bands are currently the tightest ever observed in BTCUSD price movements. Essentially, BTC is trading within a narrow range, which reflects minimal volatility. Severino’s accompanying chart illustrates that the upper BB is around $122,000, the basis BB is at $111,600, while the lower BB sits at $101,000.
In the meantime, the Evening Star pattern indicates that the bears are gaining dominance over the bulls, putting Bitcoin’s price at risk of further downward movement. With the Bollinger bands so compressed, Severino expresses caution over how this could lead to a decline toward the lower BB basis. Crypto analyst Bob Loukas affirmed that the bears are currently in control and suggested that BTC may still fall below $100,000.
He mentioned that Bitcoin is poised to print its Weekly Cycle Low, although he believes BTC is holding its ground well despite the ongoing downtrend. The analyst stated that a rally to $118,000 would signal the initiation of a new cycle.
Until then, the bears are expected to maintain control. His accompanying chart indicated that during this phase of bear dominance, the leading cryptocurrency risks dropping below $100,000. However, over the long term, Loukas still anticipates a Bitcoin price rise to as high as $140,000.
BTC Must Reclaim $116,300
Crypto analyst Ali Martinez also cautioned that Bitcoin must reclaim $116,300 or risk dropping as low as $94,334 according to the Pricing Bands analysis. He earlier stated that $107,200 represents the key support for Bitcoin. The analyst asserted that falling below this support level would open the door for prices around $100,000 or even $93,000.
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Meanwhile, crypto analyst Titan of Crypto remarked that the Bitcoin price has dipped below the trendline at $110,000. He noted that confirmation is still required, and the lagging span must follow to validate this bearish trend. However, he is among those who do not believe that BTC has reached its peak, observing that the market is currently in a state of fear, which has not historically marked the cycle top.
As of this writing, the Bitcoin price hovers around $109,600, having gained in the past 24 hours, according to data from CoinMarketCap.
Featured image from Pixabay, chart from Tradingview.com
