: likely to panic-sell once support breaks, triggering stop-loss

1. Price Structure

Previous trend: strong uptrend (from the 20th to the 23rd).

After reaching the ~3,790 peak: the market formed two lower highs → a sign of weakness.

The price is now retesting the key support zone around 3,740 – 3,750 (blue box).

2. Technical Pattern

This looks like a Double Top / variant of Head & Shoulders, signaling a bearish reversal.

The blue box area is the neckline – if broken, the pattern completes and the downtrend scenario has high probability.

3. Price Scenarios

If the 3,740 support breaks decisively:

Price may drop quickly towards 3,700 – 3,710 (nearest support).

Further down, it could retest the 3,670 – 3,680 area, as shown by your blue arrow.

If the 3,740 support holds:

Price could bounce back, forming a sideways consolidation before the next move.

However, the probability of a strong recovery is lower, as buying momentum has weakened.

4. Market Sentiment

Retail traders: likely to panic-sell once support breaks, triggering stop-loss cascades.

Big players / institutions: may take advantage around 3,700 to accumulate again after “stop-loss hunting” retailers.

👉 Conclusion: This is a short-term bearish scenario.

For existing long positions, consider taking profit / protecting capital if support breaks.

For dip buyers, it’s safer to wait for a positive reaction around 3,700 – 3,680.