Recently, the cryptocurrency market has shown positive trends, but some renowned analysts warn that Bitcoin (BTC) is not in an upward trend and predict a potential decline in the near future. Experienced analyst Peter Brandt made noteworthy comments on Bitcoin’s current price movements.
Bitcoin Still Moving in a Downtrend Contrary to Popular Belief
Brandt noted that Bitcoin’s current consolidation phase does not align with a bullish flag formation. Instead, he pointed out that the largest cryptocurrency’s current price movements form a downward channel, indicating a potential downtrend. Brandt mentioned that he used classic charting methods developed by Schabacker Edwards and Magee for his analysis.
The analyst emphasized that the current Bitcoin formation has been in place for a long time and should be closely monitored. This long-term pattern typically indicates further price declines. Based on this, the analyst advised investors to be cautious. The low peaks and low troughs seen on the chart confirm the downward channel, showing the potential for the price to drop further.
If Bitcoin’s downtrend continues, increased selling pressure in the market may be observed. This could lead to Bitcoin’s price falling significantly below current levels. Despite some investors not losing hope for Bitcoin’s future, conflicting signals among technical indicators are evident.
Need for New Fund Inflows
Overall, it is not yet clear whether Bitcoin will continue its bull rally in the coming week. For Bitcoin to surpass the significant psychological threshold of $70,000, new fund inflows are needed.
According to current data, BTC is trading at a strong $67,000, with a 0.61% increase in the last 24 hours, following the weekend rally.
