Sorry Bulls: Bitcoin Prints Perfect Sell Setup Last Seen at February’s $10k Top

After weeks of bullish price action, Bitcoin finally topped $10,000 today, rallying as high as $10,100 on the back of an influx of buying pressure.Many say that this recent move sets the stage for even greater growth, but a trader recently argued that BTC printed a “perfected” sell setup. The setup was the exact same one seen at 2020’s highs of $10,500 and indicates that downside is currently imminent.Top Indicator Just Printed a “Perfect” BitcoinAccording to one top trader, Bitcoin’s two-day chart just printed a Tom Demark Sequential (TD Sequential) “9” — last seen at the peak of the Q1 2020 bull run at $10,500. What followed was a steep decline of over 60% towards $3,700.“9” TD Sequential candles are often seen at reversal points in markets, as evidenced in the chart below.Bitcoin TD bearishChart from @Moe_mentum_Along with the “9” candle on the two-day chart, the Sequential flashed a bearish signal on another Bitcoin time frame.According to Joe McCann — a Cloud/AI specialist at Microsoft and crypto trader — the TD Sequential just printed a “13” candle on Bitcoin’s one-day time frame.Some say that this TD Sequential signal is more notable than “9” as “13” candles were seen at the top of BTC’s bull run in the middle of 2019 at $14,000 and at the $6,400 lows seen in December 2019.Chart from Joe McCann, crypto traderThis lines up with the fears that Bitcoin will crash in the wake of the halving, just four days away according to estimates.Speaking to Bloomberg, Christel Quek, chief commercial officer and co-founder at Bolt Global, remarked:“This is an unprecedented time as liquidity remains a priority for investors fleeing equity markets. Therefore, while Bitcoin should rise into $10,000s after the halving, it could be followed with a price drop as investors engage in profit taking. No level of technical support can stand when the economy is drained.”

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