Bitcoin at risk? Double Top Pattern Suggests Potential Decline to $74K

• Bitcoin’s double top pattern suggests bearish reversal potential, the primary support level being $91,979 and the downside target around $74,000.
• A break under $91,979 may provoke selling pressure, while holding over this level may induce short-term rallying towards $110,000.
• The $76K–$80K CME gap aligns with historical price behavior, increasing the possibility of Bitcoin revisiting this range before stabilizing.

Bitcoin is now reaching the turning point after investors observe its movements around the $91,979 neckline support level. Recently, the token has printed the double top pattern, bearish reversal signal, raising concerns about the token declining. Analysts are analyzing whether the token will hold its support level or confirm the breakdown, causing deeper losses.

Double Top Pattern and Bearish Outlook

Crypto analyst CryptoBullet noted the double top formation, after the strong run by Bitcoin towards $110,000 during the month of December 2024. This was followed by a peak, however, one that did not break the level, indicating the level is resistant. The price retreated, touching the significant neckline level $91,979.

A confirmed dip beneath this support can intensify the selling momentum, sending Bitcoin towards its estimated downside objective around $74,000. The measurement by the move is also supported by prior support levels, implying the potential for the asset to fall even lower. But if the asset remains above $91,979, the short-term rally towards the levels of resistance is possible.

Key Levels and Market Dynamics

Bitcoin priced was about $96,395 at the time of writing, slightly above the neckline. If the price is held above $91,979, the strength will make the price rally towards $100,000–$110,000. But the close below this level will confirm the bearish trend, pushing the price even lower.

Resistance remains around $100,000–$110,000, and the main bearish objective is $74,000–$80,000. Market players are waiting for price movements and volume for verification of the next direction.

CME Gap and Potential Price Reversal

A CME gap is located around the $76,000–$80,000 level, and this is like a magnet for the price. These gaps form when the Chicago Mercantile Exchange (CME) closes the market for the Bitcoin futures over the weekend and resumes the next business day at a very different level. Historically, the gaps will eventually be filled by the price of the Bitcoin.

With Bitcoin fluctuating around its support level, investors are deciding whether the double top formation will complete entirely or the buyers will maintain the support levels. In the next few trading sessions, the short-term direction for Bitcoin will be decided.