Bitcoin (BTC) is at risk of extending its ongoing downside correction as it breaks below a so-called “legacy trendline.”
As spotted by an independent, pseudonymous chart analyst, the said trendline was acting as a support to Bitcoin since March 2020. On September 30, the BTC/USD exchange rate fell below the price floor and flipped the Ascending Trendline into resistance.
The pair lately tested it twice for an upside breakout, but with no success.
The TradingView analyst also spotted a similar legacy trendline on the US dollar index (DXY) chart. Only this time, the line was trending downward instead of upward. The analyst noted that the recent uptick in the index pushed its price above the Descending Trendline, turning it into support.
DXY later tested the line twice,