Bitcoin Price Alert: Critical Support Breaking As Traders Brace For Possible 8% Pullback To $93K

Bitcoin experienced a modest decline of 0.70% on Thursday, while altcoins faced more significant pressure, with Ethereum dropping 3.56%. This divergence highlights Bitcoin’s relative strength even during market pullbacks, though technical indicators suggest caution in the near term.

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Technical Analysis

Bitcoin is currently forming a double bottom wedge pattern, with crucial support established between $100,800-$101,000—a zone where buyers have previously shown interest. However, the four-hour chart reveals a concerning development: Bitcoin is forming lower highs, indicating weakening momentum.

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If Bitcoin breaks below this double bottom support level, technical analysis points to a potential decline toward the $97,000 area, which represents a significant demand zone on the four-hour timeframe. Should this level fail to hold, traders may look toward the psychologically important yearly opening price of $93,548—a level that previously served as resistance before becoming support.

Market Context

The broader financial landscape adds an important dimension to Bitcoin’s trajectory. U.S. equities have staged a remarkable recovery, surging nearly 30% in just six weeks—a pace that many market participants view as potentially unsustainable. This rapid appreciation could trigger profit-taking across risk assets.

Given Bitcoin’s established correlation with U.S. equities, particularly during periods of market stress, any correction in stocks could amplify downward pressure on cryptocurrencies. This relationship bears close monitoring for traders positioning themselves in the coming weeks.

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Outlook

In the short term, Bitcoin faces technical headwinds as it tests critical support levels. The asset’s ability to defend the $100,800-$101,000 range will likely determine whether we see continued consolidation or a deeper correction toward the yearly open.

For investors with longer time horizons, these pullbacks may present accumulation opportunities, particularly if fundamentals remain strong. However, traders should exercise caution given the current technical structure and potential spillover effects from traditional markets.

The coming days will be crucial in determining whether Bitcoin can maintain its relative outperformance compared to altcoins or if broader market dynamics will push prices toward lower support levels.

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