Cryptocurrency analyst Killa posted on X that Bitcoin's daily chart is forming a descending wedge pattern, indicating the market is likely to remain range-bound. He cautioned that even if the price breaks out, a false breakout is possible, noting that the market spends 80% of its time in consolidation. After a strong rally, the market is more likely to enter a range-bound phase, and he advised against chasing breakouts until the trend confirms.
On X, the platform formerly called Twitter, analyst Killa said Bitcoin’s daily chart is shaping up as a descending wedge. His trading plan, he said, has not changed. He still expects the market to keep moving in a range-bound environment.
But Killa also warned that even if price breaks out of the pattern, traders need to stay careful because the move could turn into a false breakout. Too soon. In his view, the market still has not gone through a long enough consolidation period. Historical data, he said, shows the market is range-bound about 80% of the time, while only 20% of periods show trending moves or corrections. After the recent substantial rally, the market is more likely heading into a range-bound phase. So Killa said don’t chase breakouts. Unless the market proves otherwise, he said, traders should expect more range-bound price action.
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