Bitcoin Price Prediction: Head and Shoulders Pattern Signals $96,000 Crash?
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Bitcoin's price has experienced a recent downturn, falling from around $105,000 to the $101,000 support level. Technical analysis reveals a concerning “head and shoulders” pattern forming on the daily candlestick chart. This bearish pattern, if confirmed, suggests a potential price crash towards $96,000, representing a near 8% drawdown from current levels. Crypto analyst Titan of Crypto has identified this pattern, noting that a break below the neckline, accompanied by significant volume, would trigger the projected move. The neckline support currently sits around $103,500, a level Bitcoin briefly broke below before recovering above $101,700. The daily RSI is also hovering near 50, a level often associated with shifts in market momentum. A drop below 50 would further signal bearish sentiment. This potential crash marks a significant reversal from Bitcoin's recent all-time high of $111,814, with subsequent support levels at $110,000, $107,000, and $105,000 already broken. If Bitcoin fails to hold above $103,000, further declines towards $101,000 are likely before a steeper drop. The situation is critical; Bitcoin's reaction at the $103,500 neckline will be pivotal in determining whether the predicted crash to $96,000 materializes. A breakdown could trigger a short-term capitulation across other cryptocurrencies. Traders should monitor this pattern closely and consider risk management strategies given the potential volatility.
(Source: https://www.newsbtc.com/news/bitcoin/bitcoin-crash-trigger-to-96000/)
