Nasdaq triggers a "double top" pattern, Bitcoin's 200-day SMA support level of $82,587 is under threat

Odaily Planet Daily News: Ecoinometrics research service pointed out that the long-term recovery of Bitcoin (BTC) is closely related to the performance of Nasdaq, and there is a significant positive correlation between the two. However, the Nasdaq triggered a “double top” pattern on Monday, which means Bitcoin’s 200-day simple moving average (SMA) support could come under pressure. Bitcoin is down more than 10% in the past 24 hours, having earlier breached $95,000. In early trading, the price tested the 200-day SMA support at $82,587. The 200-day SMA is often viewed as an important indicator of the long-term trend, and a break below this level is often seen as a sign of potentially larger losses. As the Nasdaq dropped 2.2%, triggering a “double top” pattern, the possibility of BTC falling below the 200-day SMA cannot be ignored. According to technical analysis theory, the subsequent decline of the double top pattern could reach 70% between the peak and the trough, which means that the Nasdaq could fall to 19,400 points. The next support for Bitcoin could be at $73,757. (CoinDesk)