Bitcoin has surpassed the 20-day EMA at $105,296 on June 7, and the bulls broke through the resistance at $106,794 on June 9.



Daily BTC/USDT Chart | Source: TradingView

The recent price action has formed an inverted head and shoulders pattern, completed when the price breaks and closes above the neckline near $112,700. If this happens, the BTC/USDT pair could soar to the pattern target of $146,892.

On the other hand, if the price reverses and breaks below the 20-day EMA, it signals that the bears are strongly active in the high price range. At that point, Bitcoin could drop significantly to the solid support level of $100,000 – a level expected to see strong buying pressure. However, if this level is breached, the correction could pull the price down to $93,000.