Analysts see BTC bear flag, warn of potential drop to $67.7K

Bitcoin has formed a classic bear flag pattern after breaking its $90,300 support level, opening the door for a potential decline to $67,700, Cointelegraph reported, citing multiple analysts. The outlet noted that the pattern is visible on the BTC/USD daily chart and that the cryptocurrency is now down approximately 32% from its all-time high of $126,000. Over the past 24 hours, long position liquidations have totaled roughly $560 million, with Bitcoin accounting for $188.5 million and ETH for $139.6 million. Investor sentiment for risk assets is also being dampened by growing expectations of an interest rate hike by the Bank of Japan on Dec. 18-19. This has raised concerns about a potential unwinding of the yen carry trade, which could trigger intense selling pressure across markets. Cointelegraph pointed to a similar event last August when a Bank of Japan rate hike led to a 20% single-day plunge in Bitcoin and $1.7 billion in liquidations.