Will Bitcoin face two types of crash scenarios after its revival? Analysts warn that key price levels have emerged.

Bitcoin (BTC) quickly fell back after hitting a historical high, with the price returning to the levels prior to last week's big pump, erasing the previous rapid gains. Although most people in the market still expect BTC to rebound strongly again, crypto analyst Melikatrader proposed two possible trends, both of which could ultimately end in a bearish reversal and test the key support zone.

Trend line broken, bears regain control

After reaching an all-time high, BTC briefly maintained within an upward channel, with highs and lows continuously rising. However, the recent price has fallen below the lower trend line of the channel, indicating that bearish pressure has regained dominance.

Analysts point out that this technical signal often indicates a shift in market sentiment towards conservatism, and selling pressure may continue to strengthen in the coming trading days.

Two Potential Crash Scenarios

(Source: Trading View)

Melikatrader describes two possible price trends:

Scenario 1: BTC first rebounds to above 118,000 USD, but encounters strong selling pressure in that supply area, with sellers concentrating on dumping, and the price subsequently reverses and falls.

Scenario 2: After the price breaks through the first supply zone, it continues to rise towards the secondary supply zone near $120,000 (marked by analysts around $119,700), but ultimately experiences a sharp fall due to the emergence of selling pressure.

Although the peaks of the two scenarios are different, the final result is the same - the price will experience a significant pullback after reaching the top.

Fall Target and Potential Support

In any scenario, analysts believe that the ultimate downside target points to $115,800.

This price level previously served as an important support and demand area during the prior pullback, where buying power was active, and therefore it may become the starting point for the next round of Rebound.

If the support is breached, the market may further seek lower demand zones, but currently, this price level is still seen as a key observation point for the short-term bottom.

Technical Signals and Market Sentiment

(Source: Trading View)

Resistance area: Supply zone near $118,000 to $120,000.

Support area: $115,800 is the primary downward target and potential rebound area.

Trend signal: Breaking below the lower bound of the ascending channel indicates a return of bearish dominance.

In terms of market sentiment, although some bulls are still betting on a rebound, the recent price structure and resistance distribution give bears a greater advantage in the short term.

Conclusion

Bitcoin's pullback after reaching a historical high has sounded the alarm for the market. Even if a rebound occurs in the short term, the supply zones at $118,000 and $120,000 may become the "ceiling" for bulls. If selling pressure emerges as expected, $115,800 will be the next key support level, and also the battleground for the bulls and bears to clash again. Investors should closely monitor changes in these price levels and carefully formulate their trading strategies.