Bitcoin (BTC) is showing signs of a potential bearish reversal as it teeters on the edge of a double top pattern. The cryptocurrency recently failed to maintain its momentum above the $100,000 mark, pulling back to $91,300. This price movement has sparked concerns that BTC might be poised for a drop to $75,000, should the double top pattern fully materialize.

A double top is a technical analysis pattern that signals a potential trend reversal. It occurs when an asset forms two consecutive peaks at roughly the same price level, separated by a trough. In BTC’s case, the first peak was reached near the $100,000 level, followed by a brief pullback before the second peak formed in a similar price range. The critical point in this pattern is the neckline, which is drawn at the low point between the peaks. For Bitcoin, this neckline is currently positioned around $91,300.
If BTC fails to break above the second peak and instead breaks below the neckline, the pattern confirms a bearish trend reversal. This would indicate that the uptrend is losing steam and a downward move could follow. A UTC close below $91,300 would solidify the double top, signaling the possibility of a significant price drop. Analysts predict a potential decline to $75,000 based on the measured move method, which subtracts the distance between the peaks and the neckline from the neckline level.
uAlso Read: Is THORChain Facing Insolvency? RUNE Plunges 30% as Bitcoin and Ether Withdrawals Are Paused
While Bitcoin has remained resilient for much of 2024, this technical pattern serves as a reminder that the crypto market is susceptible to sharp corrections. Traders and investors should keep an eye on BTC’s price action, particularly the $91,300 neckline. A break below this level could trigger further declines, marking a shift from the bullish momentum that has carried Bitcoin to new highs in recent months.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.