Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
In a recent tweet, veteran commodity trader Peter Brandt writes that the menacing head-and-shoulders pattern, which has formed on Bitcoin’s four-hour chart, could end up failing.
Earlier today, Bitcoin plunged to $58,000, its lowest level since Oct. 15. The sudden plunge has stoked fears of another bear market.
The top cryptocurrency is down 13.3% from its all-time high of $67,000 that was reached on Oct. 20.
The ominous head-and-shoulder formation appeared after buyers failed to gain ground above the $63,000 resistance level and retain the most recent peak.
If the current run ends up exhausting itself, Brandt expects a larger congestion pattern to form.
Head and shoulders tops need not always produce a bear market to the implied target or beyond. This pattern can also fail (bullish) or morph into a larger congestion (exhausting). $BTCUSD pic.twitter.com/8f0E0HqXn2
— Peter Brandt (@PeterLBrandt) October 27, 2021
Alex DovbnyaAn ETF for shorting Bitcoin
With some analysts clamoring about the overheated Bitcoin market, investment firms are coming up with ingenuine ways of shorting the largest cryptocurrency.
Meanwhile, Alexandria-based Direxion, which is known for its leveraged exchange-traded products, recently filed to launch an ETF that will short the price of CME’s Bitcoin futures contracts.
Tomiwabold Olajide
Gamza Khanzadaev
Dan Burgin
Vladislav Sopov