A crypto analyst has predicted another devastating Bitcoin price crash that could see the leading cryptocurrency fall back below $85,000. With his poor performance over the past few months and the price action is visible signs of exhaustionthe analyst has predicted that the next major support level will be more than 33% below the all-time high.
Analyst analyzes the chart signaling the Bitcoin price crash
TradingView crypto expert ‘EliteGoldAnalysis’ has issued a new chart study on Bitcoin’s next selloff, warning that the cryptocurrency’s downtrend may not be over yet. The analyst’s breakdown highlights a key support level that he thinks Bitcoin could crash into if current downward momentum continues to exist.
EliteGoldAnalysis outlines a price structure on the chart that starts with a weak high, a technical condition that often reflects a liquidity grab before a reversal occurs. The appearance of a faint high near the top of Bitcoin’s latest rally indicates that buyers may have been wiped out before the momentum completely reverses. This pattern is accompanied by a steadily forming lower high, which indicates a develop bearish structure.
From his perspective, the analyst explains that a short bias only becomes relevant after a clear confirmation of a bearish trend. Based on the Bitcoin price chart, such confirmation could include a break of minor support below the weak high, followed by a retest of that level. EliteGoldAnalysis also noted that a bearish rejection through wick action or a strong bearish close strengthens the case for a temporary Bitcoin price crash.
Although the analyst’s analysis is just an interpretation of the chart and not a trade call, Bitcoin’s price structure still indicates a possible retracement amid the market. reinforcing pressure on the sales side.
How Low Bitcoin Price Could Fall
In its TradingView chart, EliteGoldAnalysis outlined critical zones that could dictate Bitcoin’s next bearish moves. The first region to watch is the potential ‘target level’ marked in the purple zone above $85,000. The analyst views this level as a demand or disequilibrium area. Should Bitcoin achieve and maintain this goal, it could act as an initial checkpoint before the market decides whether it does correct down or push higher.
Just below the $85,000 region lies a ‘strong support level’, highlighted in blue at $84,000 on the chart. EliteGoldAnalysis predicts that Bitcoin could fall to this $84,000 support area. The analyst suggests that this level is the ultimate retracement target, and potentially represents a significant liquidity pool that could attract buyers if the price falls.
A decisive decline towards this level would reflect a drop of over 6% from current levels above $89,000. Such a move would also mark the completion of the downward move implied by the chart structure. Over the past 24 hours, Bitcoin’s price has fallen about 3%, meaning a crash to $84,000 would extend the price even further. the continuing downward trend.
Featured image from Unsplash, chart from TradingView
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