Bitcoin Faces Major Downtrend as Market Panic Escalates Amidst Economic Turmoil

As of March 29th, Bitcoin is experiencing a notable downturn, currently testing the critical support level at $83,387. This decline aligns with increasing turbulence in the US equity markets, where the Dow Jones Industrial Average faced a significant drop of 700 points, and the S&P 500 declined by 112 points. This market volatility has led to a staggering loss in market capitalization exceeding one trillion dollars within a single trading session. Analysts link this panic to the recent release of the core PCE price index for February, which unexpectedly rose to 2.8%, alongside the announcement of a 25% tariff on imported automobiles by the Trump administration.

From a technical analysis standpoint, a concerning double top pattern has emerged, signaling potential bearish momentum. Esteemed trader Peter Brandt has issued a warning regarding this development. The BTC daily chart illustrates a bear market wedge formation, with the double top pattern suggesting a target as low as $65,635. Furthermore, crypto analyst “HTL-NL” shares Brandt’s cautionary perspective, indicating that Bitcoin’s inability to breach its long-term downtrend line and substantiate the bear market wedge pattern could lead BTC back toward its prior lows, reinforcing the continuation of the prevailing downtrend.

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