U.Today – (BTC) started Thursday with a drop to $57,300. The cryptocurrency is currently trading at its lowest level in almost three months, since late April. , the second most capitalized cryptocurrency, also started the day with a drop. But so did the rest of the market.
Over the past 24 hours, positions worth $319.98 million have been liquidated, and that's not taking into account two additional days since the beginning of the week. According to the provisional results for the week, we can now state a loss of $176 billion in capitalization for the entire cryptocurrency market.
It is only natural that this price dynamic has caused widespread fear, uncertainty and doubt among market participants. Peter Brandt, a legendary trader and frequent commentator on current events in the financial markets, has offered to at least clarify the situation.
Bitcoin bulls beware
In his outlook, Brandt highlighted a significant bearish pattern: the bearish flag. Simply put, this pattern signals potential further declines for Bitcoin. Brandt’s chart, a key component of his analysis, visually represents this bearish trend and signals caution to investors.
“In the US, our focus is always on flags during the Fourth of July weekend,” Brandt noted, adding a bit of humor to his technical analysis.
As you can see, the mood that Brandt is reflecting is not entirely optimistic, which means that buyers may be going through a painful period in the market.
Either way, the trading legend's perspective can help you prepare for further downfalls. Whether that's the case or not, we'll know for sure only in hindsight.
This article was originally published on U.Today
