In the crypto world, smart traders don’t just chase green candles — they read the patterns behind the price. And when markets pull back in a bearish trend, it’s not always a buying opportunity. Sometimes, it’s a trap.
Here are 6 bearish pullback patterns every trader should master before entering a position:
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1. Bear Flag 🏴
It looks like a short uptrend, but it’s just a pause before the next leg down. Price climbs slightly, trapped in a rising channel, then boom — breakdown continues the bearish trend.
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2. Rising Wedge 🔻
It fools traders with higher highs and higher lows, but watch closely — volume drops and momentum fades. When the wedge breaks, it usually crashes hard.
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3. Dead Cat Bounce 🐱💀
A small bounce after a big drop. Bulls cheer, but bears are lurking. When it fails to break resistance, the downtrend resumes — harder than before.
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4. Lower High Retest 🔁
After a drop, price comes back to retest a previous support (now resistance). If it fails to break above, that’s your confirmation — more downside ahead.
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5. Shooting Star Reversal 🌠
This candle has a long upper wick, small body, and closes near the low. It signals rejection and bearish pressure — a warning to exit fast.
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6. Fake Breakout (Bull Trap) 🚫📈
Price breaks above resistance, traders FOMO in… and then it reverses. A perfect trap for late entries. Always wait for confirmation!
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📌 Pro Tip: In bearish markets, not every green candle is a signal to buy. Recognizing these pullback patterns can save you from serious losses and help you time better short entries.
Whether you’re trading $BTC , $ETH , or memecoins — price action tells the truth.
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