Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Bitcoin Hits Major Inflection Point As Rising Wedge Breaks

Bitcoin Hits Major Inflection Point As Rising Wedge Breaks

CryptoNewsNetCryptoNewsNet2025/11/23 04:18
By:newsbtc.com

Bitcoin is now sitting at one of its most critical junctures of the entire cycle. A rising-wedge breakdown has driven price straight into a key support zone just as BTC prints its first major post-ATH drawdown of over 33%, a level that has historically signaled prolonged weakness and heightened volatility. With technical pressure colliding with a historically significant threshold, the market now faces a decisive moment.

Rising Wedge Break Sends Bitcoin Lower Into Key Support Zone

Crypto analyst The Boss, in a recent breakdown of Bitcoin’s daily chart, highlighted the formation of a rising wedge pattern. As expected, Bitcoin has broken down from this wedge, sending the price sliding into what is considered a strong support zone. This level has historically acted as a turning point, making its current test a crucial moment for the market.

According to the analyst, this area could trigger a potential upward reaction, as buyers often step in when the price reaches such well-established support levels. However, the possibility of a rebound is not guaranteed. The structure must show early signs of strength before any meaningful recovery can be considered reliable.

Bitcoin Hits Major Inflection Point As Rising Wedge Breaks image 0

Momentum indicators paint a cautious picture as they remain notably weak, showing no clear signal of bullish pressure returning to the market. At the same time, trading volume remains lower than necessary for a confident reversal, suggesting that buyers have yet to step in. Without stronger participation, any bounce may be shallow or short-lived.

Due to these factors, the analyst emphasized that Bitcoin’s current level must be closely monitored. While a short-term reaction from support is possible, a failure to hold this zone would open the door to further downside and potentially expose deeper support areas.

BTC Hits 33% Drawdown Threshold: A Historically Significant Signal

According to a recent update shared by Crypto Patel, Bitcoin has now recorded a 33% drawdown from its all-time high, marking a correction significant enough to grab the market’s full attention. This is more than a routine pullback; it represents a level of decline that has historically signaled deeper shifts in market sentiment.

Looking back through previous cycles, every instance where BTC retraced beyond 33% after a peak has been followed by prolonged periods of weakness, increased volatility, and continued downside pressure. These drawdowns often served as transitional phases, where momentum reset before the next major trend could establish itself.

The market now sits in a critical phase, with traders and analysts watching closely to see whether Bitcoin repeats its well-known historical behavior or breaks the cycle with a stronger-than-expected recovery.


Featured image from Pixabay, chart from Tradingview.com
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Bitcoin Updates: MetaPlanet Secures $130M Loan Using Bitcoin as Collateral to Increase Holdings Amid Market Downturn

- MetaPlanet secured a $130M loan backed by 30,823 BTC to expand Bitcoin holdings and repurchase shares, targeting 210,000 BTC by 2027. - The firm shifted to preferred stock financing to reduce shareholder dilution, mirroring MicroStrategy's strategy while leveraging a $500M credit facility. - Despite Bitcoin's 23% unrealized loss, MetaPlanet remains bullish, buying BTC at $108k amid Japan's $273B stimulus-driven market selloff. - Japan's regulatory developments and SoftBank's crypto investments highlight

Bitget-RWA2025/11/25 11:26
Bitcoin Updates: MetaPlanet Secures $130M Loan Using Bitcoin as Collateral to Increase Holdings Amid Market Downturn

XRP News Today: XRP ETFs Launch with Mixed Results: Institutional Excitement Meets Market Fluctuations

- Multiple XRP ETFs launched by Grayscale, Franklin Templeton, and Bitwise, marking the third wave of U.S. institutional crypto products. - XRP price dipped 7% amid whale selling and Bitcoin's decline, but ETFs attracted $15.8M in institutional inflows and $6.12B trading volume. - Ripple's 2023 SEC victory and spot crypto ETF approvals enabled regulatory clarity, with fee waivers boosting early adoption. - Analysts highlight XRP's efficient ledger and institutional interest in tokenized assets, though mean

Bitget-RWA2025/11/25 11:26