– Bitcoin price has formed a bearish pennant pattern on the four-hour chart.- In price action analysis, this is one of the most bearish patterns in the market.- A bearish breakout could affect altcoins like Chainlink, Tron, and Celestia.Cryptocurrency prices have been on edge after the SEC approval of a [spot Bitcoin ETF ](https://www.banklesstimes.com/news/2024/01/12/cardano-price-prediction-a-spot-ada-etf-faces-one-key-risk/)transitioned into a sell-the-news situation.[Bitcoin](https://www.banklesstimes.com/cryptocurrency/bitcoin/) price initially jumped to $49,000 and then pulled back to almost $40,000, as I [predicted](https://www.banklesstimes.com/news/2023/10/19/how-will-the-spot-bitcoin-etf-approval-affect-the-btc-price/).Buy the rumour, sell the news It is still unclear how deep this BTC pullback will be and how long it will take.Some analysts believe that Bitcoin will retreat and then bounce back as more institutional investors allocate funds to the coin.
It is estimated that over $8 billion have moved to these ETFs recently and the trend will continue at a slower pace in the coming months.The challenge for Bitcoin and other assets is that the other catalyst for the recent surge is not working well.In addition to ETF news, Bitcoin was reacting to the rising possibility that the Federal Reserve will start cutting interest rates in March.
Recently, however, the latest economic means that this could delay.Inflation figures reported last week showed that inflation rose from 3.2% in November to 3.4% in December while core CPI fell to 3.8%.A week earlier, jobs numbers showed that the economy added over 200k jobs while the unemployment rate remained at 3.7%.Wages expanded by over 45 again.
Therefore, with numbers like this, it means that the Fed has no motivation to start cutting rates soon.
On the positive side, Bitcoin halving is coming in April this year.
In most cases, Bitcoin tends to bounce back ahead of a halving event.In the short term, however, Bitcoin could see additional volatility now that it has formed a bearish pennant.In price action analysis, this is one of the most bearish patterns in the market.It is formed by a long flag pole and a small triangle pattern, as shown below.
Impact on Celestia, Chainlink, and Tron Celestia, a relatively new blockchain platform offering modular data has been one of the fastest-growing platforms in the industry.
TIA, its native token, has risen to $20, much higher than its all-time low of below $2.It has grown this much as investors hope that its technology will disrupt the crypto industry.[Tron price](https://www.macrostreet.com/2024/01/14/heres-why-justin-suns-tron-trx-is-bigger-than-you-think/) has also been in a strong uptrend as the ecosystem continued growing.
It now has over $50 billion of USDT, a big deal since Tether has over $95 billion in assets.[Tron](https://www.banklesstimes.com/cryptocurrency/tron/) has also become the second-biggest player in DeFi with over $8.5 billion in assets.Chainlink (LINK), on the other hand, has bounced back to $16, its highest point in over a week because of its market share in DeFi and tokenization.It has risen by over 24% from its lowest point last week.
The implication of Bitcoin’s bearish pennant is that it could trigger more sell-offs in TIA, LINK, and Tron.In most cases, these altcoins tend to have a close correlation with Bitcoin.We saw that in 2023 when most of them jumped as Bitcoin recovered..
