Bitcoin (BTC) may be battling for $50,000, but its latest move could prove to be the “ultimate” tool to make bears pay.
In a tweet on Oct. 5, popular trader and analyst Rekt Capital described the most recent BTC price action as the “ultimate bear trap.”
Analyst predicts more suffering for Bitcoin bears
After reaching $50,000 for the first time in a month and going on to hit highs of $50,400, Bitcoin is once again the source of intense debate among market participants.
Whether BTC/USD can hold $50,000 — and how far it could fall if not — is the topic of the day as volatility continues.
For Rekt Capital, however, it is longer timeframes that are worth paying more attention to. Specifically, the weekly chart for the pair has formed a head and shoulders pattern — something which traditionally hints at fresh downside to come.
This time, based on the most recent strength, is likely different.
“Looks like that Weekly Head and Shoulders was the ultimate Bear Trap,” he summarized to Twitter followers.