Bitcoin Price Analysis: Bear Pennant Breakout Puts $1,700 Price in Sight

Another week, another low. Bitcoin’s market has been bleeding relentlessly for weeks and now, after falling 50% in value in just one month, the market has managed to break south of a major bearish consolidation pattern called a bear pennant:

Figure 1: BTC-USD, 4-Hour Candles, Bear Pennant Breakout

This is a massive bear pennant with a staggering $2,000 measured move. In layman’s terms: The price target for this breakout would be approximately $1,700, after all is said and done. Now, it’s important to note this is just a projection and it isn’t a guaranteed trajectory, but this setup should not be underestimated. However, if we look at a macro view of bitcoin price levels, the $1,700 price range is confluent with a strong support level:
Figure 2: BTC-USD, Daily Candles, Price Target

As mentioned in previous market analyses, bitcoin has begun to march down all its previous untested support levels, one by one. As each support level proved to be unsustainable, the market has decided…