Bitcoin Faces Fresh Sell-Off: Key Technical Pattern Signals Drop Below $80K
Major Correction Unfolds as Bitcoin Struggles to Hold Key Levels
Bitcoin kicked off the week on a bearish note, tumbling nearly 5% in early Asian trading on Monday. The flagship cryptocurrency briefly dipped just above $80,000, raising concerns among investors and analysts about further declines.
Renowned trader and chart analyst Peter Brandt pointed to the completion of a double top pattern, a classic bearish indicator. According to Brandt, Bitcoin reached a peak of $108,000 in December and again in January, only to retreat below six figures. The top was then retested by a pennant pattern, which has now completed—a development confirming the bearish outlook.
Brandt didn’t mince words, warning that Bitcoin needs to reclaim the high-$90,000 range to regain bullish momentum. “Don’t shoot the messenger,” he added, reinforcing his technical outlook.
Market Correction Deepens, But Bullish Long-Term Outlook Remains
Bitcoin has been in a downtrend since mid-January, shedding 25% from its all-time high earlier this year. Historically, such pullbacks have been common in bull markets, with previous cycles experiencing even sharper corrections.
BitMEX co-founder Arthur Hayes weighed in on the price action, predicting further losses. In a post on X (formerly Twitter) on March 9, he projected that Bitcoin would retest $78,000, a level last seen on February 28. If that support fails, he warned that $75,000 is the next target.
Meanwhile, Anthony Pompliano, founder and CEO of Professional Capital Management, provided a broader perspective. He highlighted the dramatic shift in market sentiment, noting that a year ago, the Crypto Fear and Greed Index stood at an "extreme greed" level of 92, while today, it has plunged to "extreme fear" at just 17.
“Bitcoin is still 20% higher than it was a year ago,” Pompliano pointed out. “Don’t get tricked by online sentiment—it’s all just noise.”
Bitcoin pioneer Adam Back also struck an optimistic tone, emphasizing the significance of the U.S. government’s recent Bitcoin reserve announcement. According to Back, this move could serve as a major catalyst for institutional adoption:
“People are undervaluing the impact of this decision—it’s huge for shifting the Overton window. The U.S. government openly supporting Bitcoin provides a new benchmark for sovereign wealth funds, pension funds, and mutual funds to increase their Bitcoin allocations.”
Price Dictates Market Sentiment
Crypto analyst Miles Deutscher offered a pragmatic perspective, stating that in volatile markets, "price often leads the narrative."
“Right now, it feels like there’s no clear bullish catalyst, but at any moment, we could see a massive rally—and suddenly, everyone will find reasons to be optimistic again,” Deutscher noted.
As of the latest market data, Bitcoin was trading at $82,394, reflecting a 4.3% daily decline and an 11% drop over the past week. Whether BTC can reclaim key resistance levels or continue its downward trajectory remains the question on every investor’s mind.
