Peter Brandt shared a chart analysis of Bitcoin on social media platform X, indicating that it is forming a rising wedge pattern, a technical formation typically associated with price declines. Bitcoin last touched $60,000 on February 6, before recovering to $76,000 earlier this month.
The technical formation emerged after two weeks of decline.
A rising wedge forms when prices consolidate between two upward trend lines, with the lower line rising at a steeper angle. Brandt noted that Bitcoin "has outperformed most markets in adhering to classic charting rules," suggesting the possibility of a bearish pattern.
Geopolitical pressures have increased downside risks.
Ongoing tensions have pushed Brent crude oil prices above $91 per barrel, raising concerns about renewed inflationary pressures. The yield on the 10-year U.S. Treasury bond has climbed to its highest level in eight months, with the bond market beginning to price in potential rate hikes related to rising energy costs. Bitcoin is often correlated with broader risk assets and tends to decline when macro uncertainty increases and liquidity conditions tighten.