BTC faces bearish outlook, risks drop to $50K on support failure: Report

A bearish technical outlook is currently prevailing for Bitcoin, Cointelegraph reported in a recent analysis. While noting that analyst opinions are divided, the outlet argued that the charts currently favor a bearish perspective. According to the report, a key support level from last April is a pivotal point that will determine whether Bitcoin maintains its bullish trend or turns bearish. On the monthly chart, BTC is finding support near its 20-month exponential moving average (EMA), which held during the last correction. A monthly close below both the 20-month EMA and the April low would signify a break in the uptrend, potentially sending the price down to $50,000. On the weekly chart, a "dead cross"—with the 20-week EMA falling below the 50-week simple moving average (SMA)—is highly probable for the first time since January 2022. The analysis added that repeated tests of the key support level could weaken it, leading to the formation of a Head and Shoulders pattern that also points to a potential decline toward $50,000.