Analysis: Bitcoin May Be Repeating the Pattern Seen at the End of the 2021 Bull Market

According to Jinse Finance, traders are warning that Bitcoin may be repeating the pattern seen at the end of the 2021 Bitcoin bull market. Cryptocurrency trader Cheds noted that after Bitcoin surged to a new all-time high last week, it faced another round of sell-offs, which could be an ominous sign for investors. Cheds believes that Bitcoin is exhibiting a "failed breakout" pattern—a formation widely regarded as a bull trap, signaling market weakness and a potential trend reversal. "When the price breaks through a resistance level but then falls back and fails to hold that position, a failed breakout pattern is formed. In addition, we have also seen an 'outside day candle'—specifically, the large red candlestick on August 14."