BTC Focus: Imminent price drop in the face of Bitcoin

By: Ikenna Odunze

BTC Focus: Imminent price drop in the face of Bitcoin

July 27, 2022 10:23 PM

A glaring bearish flag formation, an indication of possible further drop in the price of Bitcoin.

 

The bearish flag is a chart pattern which indicates the progression of the downtrend when the temporary pause is over. It is a continuation pattern and it helps sellers push the price much lower.

 

Bitcoin Breakouts

 

At the end of May and middle of June 2022, Bitcoin had breakouts to the downside. By technical analysis, these breakouts occurred after price consolidated for a while. For may (designated 1) , it was a large range of price that broke down. And for June(designated 2) it was what seemed to be a poorly formed bearish flag.
Below we see the formation of the bearish flag at Bitcoin's current price.

 

 

In an interview with Coinnewsafrica, Michael Odunze an early bitcoin investor and trader said; "If we don't receive a groundbreaking news to stir up an immediate bullish run, then another price drop is imminent".

 

However, any trader or investor that recognises this chart pattern, will wait patiently to see how it plays out.