Bitcoin Teeters on Edge—$84.5K Plunge Looms if Support Fails

BTC’s bull run faces a critical test as technical indicators flash warning signs. A breakdown below current levels could send the king of crypto tumbling toward $84.5K—just another Tuesday for volatile digital assets.

Traders are watching key moving averages like hawks. Break that floor? Fasten your seatbelts for a 15-20% correction. Hold it? We’re off to the races toward new ATHs.

Meanwhile, Wall Street ’experts’ still can’t decide if Bitcoin’s a currency, commodity, or existential threat to their bonus pools. Place your bets—the market won’t wait for their PowerPoint decks to load.

• Bitcoin consolidated higher than $100K but with diminishing bullish traction, threatening a turn soon.
• BTC at $103,079 risks dropping 18.1% to $84,500, mirroring the February-March 2025 pattern.
• Breakout above $105,000 could result in a rise to $115,000, a gain of 10.57%.

Bitcoin’s price, after reclaiming the $100,000 milestone last week, is now stabilizing above that crucial psychological level. Despite maintaining its six-figure status, recent price activity suggests fading bullish momentum. Market participants are closely watching for signs of either a breakout or a reversal in the days ahead.

Technical analysts are raising concerns based on Bitcoin’s six-month chart, which resembles a past bearish pattern. According to the Citizen Watch Report, the current formation mirrors the one seen before Bitcoin’s sharp fall from $110K to $90K between February and March 2025.

Bitcoin’s 6-month chart is showing a similar pattern to last time, right before it took a big drop from $110K to $90K between February and March. With the price now at $103,079, it might be gearing up for another dip, possibly down to around $84,500 if the trend repeats. Just a… pic.twitter.com/VOeZdUD5tS

Bitcoin Currently Hovering Around $103,079: Risk Ahead

Currently hovering around $103,079, Bitcoin could be at risk of retracing to $84,500 if the bearish pattern plays out again. The projected pullback could potentially test the $84,500 level, marking a significant drop of over 18% from current prices.

While such projections rely on historical trends and pattern recognition, the crypto market remains volatile. Analysts caution traders to remain alert and apply proper risk management strategies when navigating the potential dip.

Earlier in 2025, there was a spectacular price correction in Bitcoin. It fell from its highest point in January at $109,000 to a low point of just below $75,000 in mid-April. But from that local low point of $74,600, BTC staged a strong comeback, up by 39.1% in a month, reaching a new local high of $105,800.

Potential Breakout Above $105,000 Target

On May 16, Trader Alan pointed out a compelling bullish trend using technical analysis. He said that rallies in bitcoin in recent times have a pattern of a $10,000 rise, followed by 7–10 days of consolidation in a sideways fashion before a renewed rise. This pattern persisted in multiple price cycles in recent history.

Bitcoin continued in this pattern from $75,000 to $85,000, then to $95,000, and $105,000. Following such a pattern, a breakout above $105,000 could drive BTC to the $115,000 level. Should it happen, it would be a 10.57% increase and a sign of continued bullish dominance in the cryptocurrency space. 

Such a steady climb marks the sustainable uptrends. Periodic consolidations serve as breathers, precluding overextension. These cool-off phases often turn into new support levels, lending better support to the bull market. Traders who pay close attention to these patterns might find tactical entries during these cooling-off phase.

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