Main points:
The rising wedge formation in Bitcoin suggests a potential decline to $74,000 if critical support is breached.
A new whale has bet $140 million on BTC shorts.
The technical analysis for Bitcoin (BTC) indicates a possible correction to $74,000, as whales ramp up their short positions.
Bitcoin’s rising wedge indicates a 34% price drop
The weekly chart displays the BTC/USD pair moving within a rising wedge, with the price testing support at $110,000 from the pattern’s lower trendline.
Related: US Bitcoin and Ether ETFs rebound as Powell hints at rate cuts
A weekly candle close beneath this level would pave the way for Bitcoin’s decline toward the wedge’s bearish target at $74,000, signifying a 34% decrease from the current level, aligning with its prior peak in March 2024.
Bitcoin’s bearish outlook is reinforced by a growing bullish divergence between its price and the relative strength index, as illustrated in the chart above.
Rising wedges are generally viewed as bearish reversal patterns, and BTC’s ongoing consolidation within the trendlines suggests that “Bitcoin’s bull run is approaching its conclusion,” according to analyst Captain Faibik.
“Bitcoin remains within the rising wedge, and bulls are currently in control, but not for much longer,” the analyst stated in a post on Wednesday, adding:
“Momentum is waning, and once the wedge breaks, bears will dominate, leading to a sharp correction.”
Veteran trader Peter Brandt mentioned that Bitcoin might experience a “major shakeout” before revisiting its all-time highs above $126,000.
“I believe the era of an 80% decline has passed, but it may revisit $50-60,000 and test the lower edge of the banana.”
As reported by Cointelegraph, various technical and on-chain metrics indicate that the BTC/USD pair could plunge to $74,000 in a worst-case scenario if it fails to maintain the $110,000 support level.
Bitcoin whale places a $140 million short position
Bears in Bitcoin intensify their short positions as calls for a deeper price retreat become increasingly pronounced.
Data from Lookonchain reveals that a Hyperliquid whale has initiated a short position worth $140 million, utilizing 5x leverage with a liquidation price set at $137,700.
Another whale, 0xc2a3, just opened a 5x short on 1,240 $BTC($140M) on #Hyperliquid.
Liquidation price: $137,700https://t.co/9PPQWCKRHj pic.twitter.com/3yLHGDKMAi
— Lookonchain (@lookonchain) October 15, 2025
This isn’t the only whale betting against Bitcoin’s price. On Tuesday, another Bitcoin whale that shorted BTC last week escalated a $500 million downside bet, leveraging 10x.
Additionally, on-chain data has indicated a shift in the ratio of unrealized profit and loss (NUPL) from “optimism” to “euphoria,” a shift that has historically preceded significant market tops.
This article does not offer investment advice or recommendations. All investments and trading activities involve risks, and readers should conduct their own due diligence before making any decisions.
