Bitcoin Double Top Forms at $122K as Bears Target $100K
Bitcoin has stalled below the key resistance of $122,056, forming a potential double top—a bearish pattern signalling buyer exhaustion. After two failed attempts to sustain gains above $122K and a pullback to $111,982, a decisive break below that neckline could trigger a sell-off toward $100,000. Traders should monitor resistance at $122,056 and support levels at $114,295 (50-day SMA) and $111,982. This setup echoes an earlier Bitcoin double top near $100,000 that led to a drop under $75,000. With U.S. CPI data imminent, Bitcoin’s vulnerability to a hotter-than-expected inflation report may intensify selling pressure and dampen Fed rate cut bets. Short-term traders may adopt defensive positions, while long-term holders should watch macroeconomic indicators and confirm technical signals.
Bearish
The formation of a Bitcoin double top at $122K represents a classic bearish reversal pattern, especially after two rejections above the Fibonacci level at $122,056. A break below the $111,982 neckline would confirm this pattern and could drive prices down to $100,000, mirroring the April drop from a previous double top at $100K to under $75K. With U.S. CPI data due, any hotter-than-expected inflation reading could trigger additional selling by undermining Fed rate cut expectations. In the short term, traders are likely to adopt defensive positions or hedge against downside risk. Over the longer term, sustained negative momentum and weaker macro data could prolong the bearish trend until a clear technical or fundamental catalyst reverses sentiment.