Bitcoin News Today: Bitcoin Falls 3.34% as Bearish Patterns Signal 9.64% Drop Risk

Bitcoin appears to be caught in a bearish technical pattern that could lead to a significant price correction. Analyst Captain Faibik has identified a breakdown from a rising wedge and the formation of a Power of Three (PO3) on the daily chart, both of which indicate waning bullish momentum [1]. The price of BTC/USDT has fallen below a critical trendline near $115,000, reinforcing the bearish structure [2]. If this pattern holds, Bitcoin could face a decline to the $105,000–$106,000 range, representing a drop of approximately 9.64% from current levels [3].

The recent price action has triggered significant liquidation events. Over the past hour, traders have faced $2.82 million in liquidations on Bitcoin, making it the second most liquidated cryptocurrency after Ethereum [4]. The majority of these losses were incurred on long positions, as traders anticipated a rebound that did not materialize [5]. This surge in liquidations coincides with Bitcoin falling below key support levels, increasing selling pressure and exacerbating the downward trend.

In a separate but potentially related development, U.S. President Donald Trump has signed an Executive Order raising tariffs as part of a strategy to reduce trade deficits and bolster domestic manufacturing. Countries listed in Annex I are subject to higher tariff rates, while other nations face a 10% increase. While the policy is framed as a means to protect national security and create jobs, it could impact global investor sentiment and risk appetite, which in turn may affect capital flows into the cryptocurrency market [6].

At the time of reporting, Bitcoin is trading at $114,847.21, down 3.34% on the day. The price has retreated from an intraday high near $118,670, underscoring the strength of bearish momentum [7]. Immediate support lies near $114,000, where past buying interest has been observed. A failure to hold this level could accelerate the decline toward the $105,000 area. On the upside, resistance is currently near $118,500. A sustained move above this level could help to alleviate bearish sentiment and open the door to a potential recovery [8].

Sources:

[1] Bearish Patterns Emerge: Bitcoin Threatens Further 9% Decline (https://coinmarketcap.com/community/articles/688c80d97af0b5296f03f8aa/)