A right shoulder is forming on the daily chart, suggesting a potential bullish reversal.
A break above $108,369 may propel Bitcoin toward the $130,000 mark, driven by chart-based momentum.
The $103,081 level continues to act as a strong support, holding off further declines despite a 2.3% drop in price.
The price of Bitcoin fell 2.3% to $104,963 in the last 24 hours. However, traders are now following its movement closely. The current price drops come at a key moment for the cryptocurrency. The chart shows a clear pattern forming. Notably, this pattern highlights a potential move toward all-time highs.
Right Shoulder Formation Points to Breakout
According to a chart by analyst CryptoJelleNL, the daily Bitcoin price pattern shows a right shoulder forming. The shoulder is part of a well-known pattern called the “inverse head and shoulders.” Furthermore, this pattern often forms when prices consolidate after a drop signals a potential turning point, with the right shoulder offering insight into future price movement.
https://twitter.com/CryptoJelleNL/status/1933408704411398567
The chart suggests a possible move toward all-time highs if the right shoulder completes and buying momentum builds. A break above the $108,369 resistance could push prices toward $130,000, based on technical formations visible on the daily chart. This potential move may reflect growing trader confidence in a recovery.
Key Levels Under Watch as Bitcoin Tests Reversal Zone
Meanwhile, the support at $103,081 plays a key role in this pattern. Furthermore, this base has kept prices from falling further during the drop. The formation of the right shoulder signals a potential reversal from this level. Importantly, this highlights how traders are using these points to gauge future movements.
If BTC falls below the $103,081,the next support level will be at $101 or even $100. However, with the resistance at $108,369, a break above the level will lead BTC to trade above $110 or above $120.
Final Thoughts
In conclusion, Bitcoin’s current price action is drawing increased attention as a key bullish pattern forms on the daily chart. The developing inverse head and shoulders signals a reversal, with important support of $103,081 still intact. A breakout above the $108,369 barrier would open up a rally to $130,000, reflecting renewed optimism in the trader base. But if the support is broken, risk is down to $101. With sentiment riding on these levels, market players are following closely for verification of the pattern, which may be a turning point in Bitcoin's direction and rekindle momentum towards new all-time highs.
