Bitcoin Price Indicators: Head and Shoulders Pattern Suggests Drop to $78,000

Bitcoin is potentially forming a head-and-shoulders pattern, leading analyst Melika Trader to forecast a sell-off down to $78,000. Despite recent highs above $90,000 and whale accumulation, significant resistance exists between $95,600 and $98,290. Analysts predict a possible rally to $137,000 contingent on bullish confirmations.

The Bitcoin price has formed a head-and-shoulders pattern, indicating a potential bearish trend. Analyst Melika Trader predicts a significant drop could see Bitcoin decline to $78,000 following the formation of the pattern’s right shoulder. Following a potential fake breakout above the $87,000 to $88,000 resistance, this decline is expected to occur.

Currently, Bitcoin has touched $90,000, driven by the weakening US Dollar, with hopes it may approach $100,000. Analyst Ali Martinez identified a substantial resistance range between $95,600 and $98,290 due to a large number of wallets accumulating BTC in this price area. The Bitcoin price’s future movements shall largely depend on these holders’ selling or holding behaviour upon reaching this zone.

Furthermore, ongoing accumulation by crypto whales is seen as a bullish sign for Bitcoin’s trajectory, with over 17,000 BTC withdrawn from exchanges in the past week. Meanwhile, Titan of Crypto predicts a potential rally to $137,000 if the current bull pennant breakout persists, corroborated by consistent bullish daily candles.

Additionally, Egrag Crypto stated a daily closure above $93,000 will signal strong bullish momentum, raising the chances for Bitcoin to surpass $100,000. As of the latest data from CoinMarketCap, Bitcoin trades at approximately $93,000, reflecting a 5% increase over the last 24 hours.