Double Top Warning: Analyst Sees Significant Downside Ahead for Bitcoin and Ethereum
Analyst Gu Jingci has shared his views on the Bitcoin (BTC) and Ethereum markets, suggesting that traders should be cautious of a potential double top formation.
In a recent analysis, Gu Jingci noted that BTC surged from last evening into early morning, breaking through the high at 81,600. However, this was followed by a decline, which did not break below the previous daily high at 81,500.
Gu Jingci suggests that traders should be aware of the possibility of a double top formation, which could lead to a significant downside if it occurs. He advises against panicking on rallies and avoiding chasing highs or panic selling.
The analyst recommends shorting BTC around 80,800 to 81,300, targeting 78,000 to 79,000, and shorting Ethereum around 2,505 to 2,520, targeting 2,380 to 2,430.