- Bitcoin is trading near $97K, and its next move depends on key levels at $92K and $100K.
- A break below $92K may lead to heavy dumping pressure, pushing the coin toward $78K in the coming days.
- Closing above $100K could invalidate downside developments and potentially set the coin on a new rising trend.
Bitcoin is at risk of a revenue drop after analysts identified a cautionary head-and-shoulders structure on its chart. The crypto is trading at $97,669, which represents a slight 0.59% decline in the past day. This technical pattern shows a probable correction that could send it down to $78,000 if levels fail to hold.
Source: Ali Charts
Renowned crypto forecaster Ali pointed out this bearish setup in a recent analysis. The head-and-shoulders arrangement shows three distinct peaks, with the middle peak higher than the others.
This design suggests that Bitcoin may reverse its trend if the neckline, which sits at $92,000, is broken. He explained that a drop below this mark could cause sell-offs, leading to the projected target of $78,000.
Resistance at $100,000 Remains Crucial for a Rebound
The current trading setup for Bitcoin revolves around two key levels: $92,000 as a support and $100,000 as a resistance. Bitcoin needs to break through $100,000 decisively to invalidate the bearish pattern and regain bullish momentum.
However, failing to hold above $92,000 could result in a 14% price drop, based on the pattern’s projected move. This makes the next few days critical for determining the cryptocurrency’s immediate price trajectory. Analysts have emphasized that these levels will play a significant role in shaping Bitcoin’s immediate market performance.
Mixed Reactions Divide Traders and Market Participants
Ali’s analysis has sparked a wide range of opinions among investors and traders. Some traders remain confident in its resilience, while others are preparing for a possible drop.
BitcoinBullMF dismissed the possibility of a decline below $90,000 this year, expressing confidence in the coin’s upward potential. On the other hand, Rbco356 agreed with the outlook, citing additional negative indicators such as weakening momentum and technical patterns.
