Bitcoin ’rallies Are For Selling‘: Top 3 Arguments From BTC Market...

Many analysts say BTC’s rebound is a bull trap, warning its price could fall to as low as $40,000 over the coming months.

Bitcoin (BTC) climbed 14.50% from its recent lows of $80,600, inching back toward $93,000 as traders were at odds between a “comeback” by the bulls or the start of a bear market.

Analysts say Bitcoin’s rebound is a bull trap, with risks extending to as low as $40,000.

Google Trends suggests a rally toward $97,000 before the correction continues.

Among those leaning bearish is CryptoBirb, who remained unconvinced, arguing that the current and upcoming Bitcoin price “rallies are for selling,” not signals of a renewed push toward widely cited year-end targets of $150,000 and beyond.

The top arguments in favor of a Bitcoin bull trap mentioned a classic technical pattern dubbed the “bear flag,” a structure that, during downtrends, typically resolves with another leg lower.

Mister Crypto, Celeb Franzen, and several other analysts highlighted the bearish continuation pattern during Bitcoin’s recovery, with some noting that the BTC price can easily plunge toward $80,000.

A further examination of the bear flag revealed its technical downside target for December to be around $77,100, calculated by adding the previous downtrend’s height to a potential breakdown point near the $88,000 support.

That would be down about 16% from the current price levels.

Bitcoin’s current structure mirrors the 2021 cycle almost “exactly,” according to analyst Leshka.

Source: CoinTelegraph