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Βitcoin price BTCUSD
Βitcoin - BTCUSD

Bitcoin Price: Bearish Reversal Possible After a Rising Wedge Formation

Mircea Vasiu Market Analyst
    Summary:
  • Bitcoin price hesitates at the $60k level and the market forms a rising wedge formation. A reversal may spell trouble for bulls.

Bitcoin price looks weak here as the market struggles to find the strength to move above $60k. The crypto community had a hard time over the weekend as the Dogecoin was hit hard by Elon Musk‘s remarks on the Saturday Night Live show.

His remarks that Doge is a “hustle” had an immediate impact on the cryptocurrency, sending it lower by 30% before recovering some of its losses. The weakness did not transmit to the Bitcoin price, but the main cryptocurrency keeps struggling at the $60k level.

However, bears should be cautious. Even though Bitcoin forms a rising wedge pattern, or at least one pattern that looks like a rising wedge, the series of higher highs and higher lows remains intact. Until and unless that series breaks, the bulls will keep pushing for new highs.

Bitcoin Technical Analysis

The technical picture reveals a rising wedge that stands ready to break. That is the key word here – ready to break, and so, any bears may want to wait for the break before selling Bitcoin short. As such, a daily close below the $56k level is critical for bears that want to short Bitcoin. If it happens, then the stop-loss must be set at the highs and the take profit level at the wedge’s full retracement, below $50k.

Bitcoin Price Forecast

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