A recently emerged Bitcoin (BTC) price prediction has the crypto community worried as it points to a "shooting star" candle on Bitcoin's weekly chart
A recent Bitcoin (BTC) price analysis has sparked concern within the crypto community, as it highlights the presence of a “shooting star” candle on Bitcoin's weekly chart—a formation that could be indicative of bearish sentiment.
The analysis, shared on Twitter by霽Light (@LightCrypto_), points to the candle's large upper wick, which could be signaling a potential reversal for Bitcoin as it continues to trade around its historic highs.
According to the analysis, this “shooting star” pattern, which commonly emerges as prices encounter resistance levels, suggests a slowdown in buying momentum and an increase in selling pressure.
In technical analysis, a shooting star candle forms when an asset's price opens, experiences a sharp increase, and then retraces to close at a level close to its opening price, leaving a prominent wick at the upper end of the candle. This formation often occurs when buyers are unable to sustain the upward price movement, encountering resistance that may trigger a sell-off.
The last weekly Bitcoin shooting star had a large upper wick. Perhaps Bitcoin traders will dismiss this as an "insignificant" technical signal.
The latest shooting star pattern formed during the last week of March as Bitcoin attempted to breach its March highs but fell short by less than 1%, sparking speculation on the strength of the current rally.
This cautious outlook was further reinforced when renowned trader and Bitcoin proponent Peter Brandt shared this analysis on his social media, reposting the price prediction. Previously, Brandt had stated that for a substantial Bitcoin breakout to occur, its price would need to close above $76,000 per BTC on a daily chart, which would be confirmed by a weekly close on Sunday at midnight.
Concluding, the presence of bearish signals around previous highs suggests that Bitcoin may require further consolidation before any sustained rally can take place.
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