BTCUSD, after facing rejection at an intraday resistance,has undergone a significant bearish correction and appears to have foundsupport around $110.4K. As of writing, the cryptocurrency is trading near thislevel, with intraday traders watching price action closely to determine itsnext move.Crypto analysts have issued a warning as Bitcoin exhibits arare “three bars down” signal on its weekly chart. Historically, this patternhas preceded major corrections, although current market conditions may reducethe likelihood of a severe downturn. Traders should monitor key levels in thecoming days for potential shifts in market direction.Analyst Issues Warning on BitcoinA cryptocurrency analyst, Jason Pizzino, has issued awarning about a rare technical pattern forming on Bitcoin’s weekly chart, whilenoting that current market conditions may not indicate a severe downturn.The “Three Bars Down” SignalThe analyst highlighted the “three bars down” signal, alsoreferred to as “three red weeks,” which consists of three consecutive weeklycandles with lower highs and lower lows following a significant peak. You may find it interesting at FinanceMagnates.com: BitcoinFinds Support; Analysts Highlight US Offshore Access Impact on Crypto.Historically, this pattern has preceded major Bitcoincorrections, including a 70% decline after the 2017 all-time high, a 55% dropin April 2021, and a 53% correction following June 2019. In the current bullmarket, the signal has already appeared twice, each time coinciding withroughly a 30% correction.Why This Time Might Be DifferentDespite the historical precedent, the analyst argued thatthe conditions this time differ from past occurrences. Previous signalscoincided with periods of extreme market greed and peak Google search interestfor Bitcoin, while the current market has not displayed sustained euphoria.This suggests that a deep correction may be less likely, and the bull marketcould continue.This rare weekly signal has crashed the price of Bitcoin by up to 70%. Crypto isn't immune to it either; however, we are yet to see the sentiment reach similar levels for the full impact of this signal. There are 4 days to go to invalidate this signal. #BTC #ETH #CryptoWatch… pic.twitter.com/r5V82ESbXW— Jason Pizzino 🌞 (@jasonpizzino) September 4, 2025Key Levels to WatchThe analyst outlined key levels to monitor over the nextfour days as the weekly candle closes. A break above $113K would invalidate thebearish signal, signaling continued strength in Bitcoin. Read More: WhyBitcoin Is Going Up? BTC Price Today Rallies Above $111K on Technical BreakoutSignal.The preferred short-term scenario involves a bounce toward$114K–$117K, followed by a rejection and a retest of recent lows near $107K,which could help establish a stronger base for a future rally. If the signalholds and the price fails to surpass $113K, it may indicate a longer and deepercorrection extending into the fourth quarter.Broader Market ContextThe broader macroeconomic context also informs the analyst’soutlook. Expectations of upcoming interest rate cuts, strong performance ingold and silver, and historical seasonal trends suggest that Bitcoin and othermajor cryptocurrencies could experience a relatively positive fourth quarter,even if short-term consolidation occurs in September.This article was written by Tareq Sikder at www.financemagnates.com.