In my previous Bitcoin analysis titled “Gold, Silver, And Bitcoin Crashing. End Of The Bull Run?“, I talked about the weakness we currently see coming into the Bitcoin price and the potential for the price to keep on heading down in the coming days.
I also talked about the support I was watching and the importance of the base channel of the ascending triangle pattern Bitcoin was initially trading in earlier this month.
Well, that bearish price prediction as played out very well so far with the Bitcoin price crashing back down to that base channel and then finally breaking through it yesterday.
However, the question a lot of Bitcoin traders are asking right now is what next? Can we expect to see price continue falling or will the Bitcoin bullish momentum return?
I will be answering those questions and more to the best of my ability in this Bitcoin analysis.
I will also be talking about the bearish double top pattern currently forming on the Bitcoin chart and what I expect the Bitcoin price to do in the coming days.
Double Top Pattern. WIll Price Continue To Crash?
The Bitcoin price is currently forming a bearish double top pattern on the 4-hour time frame. This bearish pattern started forming after the Bitcoin price was unable to break through the $12,000 resistance region.
However, the issue I have with this bearish move is that; “the price has been trending down on declining bearish volume“.
I have talked about the importance of the volume indicator when it comes to determining either a move is a breakout or a fakeout.
And right now I want to see an increasing bearish volume to begin entering the market in order to gain more confidence in this bearish price scenario.
What Do I Expect The Price To Do?
If the Bitcoin volume continues to decline, then I believe there is a high probability for the Bitcoin price to make a lower high in the coming days before the price continues heading down.
It is very important to remember that Bitcoin is still overall in a bullish uptrend and what we are currently experiencing is just a price pullback that can end at any time.
The most important resistance I am currently watching in order to have this bearish outlook is the $11,500/$12,000 resistance region.
A break of this resistance region simply means that the Bitcoin bull trend as resumed and we can expect the price to start heading back higher in the coming days.
For a list of the top best Altcoins to put on your watch list and trade during this coming bull run, check out my Top 25 Cryptocurrencies by Market Capitalization
To gain more information on how to partake in this coming Bitcoin Bull run and trade this cryptocurrency, you can read my How To Trade Bitcoin Guide. You can also check my top list of Best Bitcoin Exchanges To Trade With.