Popular cryptocurrency trader Keith Wareing warned Bitcoin (BTC) traders about a critical bearish scenario brewing in the market.
The trader spotted Bitcoin inside an inverse cup-and-handle pattern earlier this month, a bearish structure that forms during a price wave downward, followed by a stabilizing period. The technical design typically leads the price lower by as much as the size of the previous decline.
Bitcoin topped near $65,000 in mid-April before reversing to the downside in later sessions. The cryptocurrency crashed to as low as $28,800 on June 22 after attempting to keep prices above $30,000 repeatedly. It successfully did so but fell short of extending its bullish reversal momentum after facing comparatively higher selling pressure in the $35,000–$36,000 range.
Bitcoin cup-and-handle pattern visualized. Source: TradingView, Keith Wareing
The pattern’s handle part appeared like it is nearing exhaustion, prompting Wareing to say that Bitcoin’s price would fluctuate inside the structure for another three to four weeks. After that, the cryptocurrency would rally lower, insomuch that it