On Sept. 6, Bitcoin (BTC) price crumbled below $20,000 and the asset looks ready to undergo further decline in September due to a strong U.S. dollar and an ominous technical analysis pattern.
Bitcoin eyes $15,000 next
From a technical perspective, Bitcoin risks dropping to $15,000 or below in the coming weeks after breaking out of its prevailing “bear flag” pattern.
For the unversed, bear flags form when the price consolidates higher inside a parallel, ascending range after a strong downtrend. They typically resolve after the price breaks below the lower trendline and falls by as much as the previous downtrend’s length.
BTC/USD daily price chart featuring ‘bull flag’ pattern. Source: TradingView
Bitcoin has entered the so-called breakdown stage of its bear flag pattern, with its downside target lurking south of $15,000, as illustrated in the chart above.
Cash is king
The prospects of a weaker Bitcoin heading further into 2022 are growing…
