Analyst: Technical and on-chain data suggest Bitcoin’s short-term downside risk

ChainCatcher report, according to Cointelegraph, analyst Yashu Gola stated that both technical indicators and on-chain data currently point to short-term downside risk for Bitcoin. A classic "bear flag" pattern is forming on Bitcoin’s daily chart. This structure began with a sharp decline to the $60,000 region, serving as the "flagpole," followed by price consolidation within converging trendlines, consistently held below key moving averages with weak momentum. If price decisively breaks below the lower boundary of the flag, it could decline further to the $56,000 level within two months—a drop of approximately 20% from current levels. Conversely, a breakout above the upper boundary near $72,700 (which aligns with the 20-day moving average) could invalidate this bearish structure. Data from the on-chain platform CryptoQuant shows that Bitcoin’s “Big Whale Inflow Ratio” (7-day average) has surged to a record high of 0.619, significantly above 0.40 at the start of the month. This metric tracks the proportion of total inflows from the top ten transactions; its rise is typically interpreted as increasing selling pressure from large holders. Meanwhile, the Greed & Fear Index is signaling a potential “bottoming” pattern: the 21-day moving average has crossed below zero and is now turning upward. Historically, this combination has often coincided with durable bottoms; while brief dips remain possible, the likelihood of a rebound is accumulating.