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Bitcoin News: Potential Price Drop to $96,000 Amidst Bearish Chart Pattern
After several days of hovering around the $105,000 mark, Bitcoin is now facing downward pressure from sellers and profit-taking activities by traders. In the latest developments, Bitcoin could not maintain the $105,000 level, ultimately dipping to find some support near $101,000. However, the “bitcoin news” today focuses on a critical technical pattern forming on the daily candlestick chart that suggests a potential plunge towards the $96,000 range.
Emerging Head and Shoulders Pattern
A notable crypto analyst, Titan of Crypto, has identified a classic head and shoulders pattern on Bitcoin’s daily chart. This bearish configuration, if fully formed, points to a possible decline reaching the $96,000 area. The pattern is detailed by a central peak, termed the head, occurring in mid-May, with two subsequent lower highs on either side, known as the shoulders. These are all positioned above a slanted neckline that is currently under severe testing for support.
As Bitcoin trades just over this neckline, its stability is crucial. A decisive break below this line, accompanied by significant trading volume, could trigger a sharp downward movement, estimating a fall directly to approximately $96,054. This scenario places Bitcoin at risk of nearly an 8% decrease from its current position, with minimal support intervening.
RSI Indicates Potential Downturn
In addition to the pattern, Bitcoin’s daily Relative Strength Index (RSI) hovers around the midline 50 value, typically a critical point that can provoke significant market reactions. A drop below this level would further confirm a momentum shift to the bearish side.
Critical Levels to Watch
If Bitcoin’s price does collapse towards the $96,000 threshold, it would mark a significant shift from the bullish sentiment observed just two weeks ago when it hit a new all-time high of $111,814. Since achieving this peak, Bitcoin has sequentially lost support at $110,000, $107,000, and now $105,000, placing the next significant support near $103,000. A failure to maintain this level could push the price towards the $101,000 support zone, possibly serving as the last buffer before more severe declines ensue.
Currently, Bitcoin is trading at $103,250, retesting the neckline from below. The market’s response here could determine whether it will indeed plummet towards the $96,000 mark. A dominance by sellers at this crucial juncture could not only confirm the head and shoulders pattern but potentially set off a broader sell-off across the cryptocurrency markets.
For more detailed analyses and up-to-date “bitcoin news,” visit [Financier News](https://www.financier.news/). Those interested in exploring more about cryptocurrencies can find additional information on [Binance](https://www.binance.com/).
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