the current Bitcoin price crash is caused by massive decline As large whales unload their initial large BTC holdings. But in addition to this, there are also chart formations that suggest that the Bitcoin price crash is only in the early stages. This comes after the cryptocurrency ended October in the red for the first time in seven years, setting a precedent for a bearish end to the year.
Need to maintain high and low trend lines
The current downward trend in Bitcoin prices began after the cryptocurrency hit an all-time high in August. The rejection at $126,000 created a series of bearish pressures currently plaguing the market, resulting in heavy losses for the altcoin. However, even if prices have already plummeted They have made a significant difference since then, but the decline is likely far from over.
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Crypto Analyst TradingShot highlights The current trend is similar to the one seen in January-February 2025, when a fractal formed after Bitcoin price broke below the high low trend line. Currently, the Bitcoin price chart is following the high-low trend line that formed after the infamous October 10 flash crash.
As analysts explain, this trend line must hold for a recovery to occur. At the event trend line breakingin which case Bitcoin price could fall into difficulties similar to those seen at the beginning of the year. If we reject this level, a double-digit collapse is inevitable.
If the crash persists, same fractal Analysts expect a 32% decline, based on what was seen from January to February. This would place it at the 2.0 Fibonacci extension level, and such a crash could send it down to $87,000 before support is re-established.
What a bearish October means for Bitcoin price
Interestingly, historic performance This confirms crypto analysts’ theories that a double-digit collapse in Bitcoin prices is possible. This has to do with October’s performance and the resulting trends that we are told are likely to occur in November.
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anytime Bitcoin price ended October in the redand the following November ended similarly poorly. The last time Bitcoin saw a red October close was in 2018, followed by a 36.4% crash in November.
Considering this, perhaps Bitcoin price follows this trendespecially with the huge drop from the BTC whale. Naturally, a double-digit crash would send Bitcoin prices below $100,000 for the first time in four months.
Featured image from Dall.E, chart from Tradingview.com
