The Bitcoin (BTC) market is exhibiting all the features of a possible major correction, according to an anonymous analyst. According to the analyst, the crypto king may undergo a significant crash similar to the one of 2015 and target a price as low as two key psychological barriers at around $20,000.

The analyst noted that the recent price action of Bitcoin is highly reminiscent of the 2015 meltdown, which that saw harsh 38% drop in a month. This led to a speculation about the crypto in question being unable to fully recover the $28,800 benchmark and capitulating to the low $20,000s. Coming from a technical perspective, there is also a "head-and-shoulders" pattern forming in the market with a neckline at around $27,000. In the event of the neckline being breached, the analyst speculated that further downside is possible into the $20,000 range.

At the time of writing, BTC is trading at the 26,733-dollar area. Currently, one of the most crucial levels for bulls and bears alike is seen at the $27,000 region, which mainly serves as the support for the formation of the “head-and-shoulders pattern”. In the case of this level getting taken out, the analyst warned that a "partial breakdown" would be observed, potentially resulting in a deeper deflection.

Bitcoin's short-term and long-term cycles usually have a "domino effect" on price. As such, it might not take a long time for traders to realize the danger present in the market. Although the pattern is not fully formed yet and there is still no concrete evidence to suggest a major downside, the warning should be taken seriously, especially by those who want to stay safe in the crypto space.

To sum it up, an anonymous analyst has presented his research regarding a possible major correction in the Bitcoin market that is eerily similar to the one in 2015. The figure presented by the analyst implies an unprecedented 38% downfall with the major downside target being at around the $20,000 range. The technical analysis indicates a head-and-shoulder pattern forming in the market which could be confirmed by breaking the $27,000 neckline. Both professionals and the everyday investor should take extra precautions when managing their portfolios until the case becomes more clear.



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