The price of Bitcoin is fighting hard to rebound after its massive drop. BTC/USD was traded at 21,448 at the time of writing. Technically, the price action developed a bearish continuation pattern. Still, we need strong confirmation before taking action.
BTC/USD dropped by 17,62% from last week's high of 25,212 to a new low of 20,769. In the last 24 hours, Bitcoin has gone up by 2.08% but it has lost 11.72% in the last 7 days.
BTC/USD Flag Formation
BTC/USD developed a minor ascending channel pattern, a flag formation that could activate more declines as long as it stays under the downtrend line. The 20,700 key level is seen as a downside obstacle.
After escaping from the Rising Wedge pattern, Bitcoin was expected to drop. Temporary rebounds could bring new short opportunities.
BTC/USD Forecast
Staying below the downtrend line and making a valid breakdown below 20,700 may activate more declines. This scenario could bring new short opportunities.
