Bitcoin (BTC) Price Prediction: BTC Price Forms Head and Shoulders Pattern, Eyes $91K as Double Top, Bearish Divergence Pattern Forms

After the Bitcoin (BTC) price closed Wednesday in a black Marubozu candlestick, it is evident that the bearish outlook is gradually gaining ground.

Bitcoin (BTC) price encountered a crucial resistance range between $107k and $109k during Wednesday's trading session, forming a short-term reversal pattern after closing the day in a black Marubozu candlestick. This development suggests that the bearish outlook is gradually gaining ground.

Four-Hour Time Frame Analysis

Within the four-hour time frame, Bitcoin price is forming a potential head and shoulders (H&S) pattern. This bearish formation is further supported by a falling divergence of the Relative Strength Index (RSI).

If the short-term bearish sentiment continues, Bitcoin price will find a solid support range between $101k and $99.5k. This zone has previously acted as a strong support area during the coin's uptrend.

Daily Time Frame Analysis

Shifting to the daily time frame, a potential macro reversal pattern has been forming since early December 2024. This pattern resembles a double top and is accompanied by bearish divergence.

If this macro bearish outlook materializes, Bitcoin price could drop to the lower border of a horizontal channel around $91k. This level has been identified as a crucial support area in the past.

Bitcoin price has been rising within an ascending channel since December 2023, reaching a high of $116k on January 4, 2025. However, the coin faced strong resistance at the upper border of the channel and has since been consolidating.

After forming a morning star candlestick pattern at the lower border of the channel, Bitcoin price rebounded slightly, encountering another wave of selling pressure around $108k.

Four-Hour Time Frame Analysis

On the four-hour time frame, Bitcoin price is forming a potential head and shoulders (H&S) pattern. This bearish formation is further highlighted by a falling divergence of the Relative Strength Index (RSI).

If the short-term bearish momentum continues, Bitcoin price will find a solid support range between $101k and $99.5k. This zone has previously acted as a strong support area during the coin's uptrend.

Daily Time Frame Analysis

In the daily time frame, a potential macro reversal pattern has been forming since early December 2024. This pattern can be described as a double top and is accompanied by bearish divergence.

If this macro bearish outlook materializes, Bitcoin price could drop to the lower border of a horizontal channel around $91k. This level has been identified as a crucial support area in the past.