Bitcoin’s (BTC) Recovery seems to have run out of steam with a emergence of a double top bearish reversing pattern on the short duration price charts.

BTC peaked nearly $ 87,400 last week, with prices withdrew to about $ 84,000 on Friday and staging a recovery to over $ 87,000 before stopping again. This sequence of two prominent peaks at about the same level, separated by a trough, suggests a classic double top formation. This bearish pattern often signalizes the end of an increase.

The double top pattern typically requires confirmation through a crucial decrease during the “neckline”, the level of support between the two peaks, which is around $ 86,000.

If this occurs, BTC could fall against $ 75,000 or lower in the short term. However, long -term charts still indicate that the asset remains in an increasing range.

Dealers responded positively to the American Federal Reserve’s Dovish attitude towards inflation and a cooling down in concerns about the upcoming US tariffs that have supported gains in the past week.

However, the lack of ALTCOIN Correlation with BTC’s recent movements suggests that the current price action may lack broad market support, increasing the possibility of a “false outcome”.

A potential decrease in BTC is likely to spread over to larger tokens and bulk recent gains and hope of a lasting rally. Dogecoin (DOGE), strongly influenced by market mood and speculative trade, could see reinforced losses if Bitcoin’s Bearish pattern plays out, while XRP may see reduced momentum, especially given its sensitivity to market mood and regulatory developments.

Solana could be particularly sensitive due to its recent volatility and technical indicators-with what comes close to forming a “Death Cross” (a bearish signal in which the 50-day sliding average crosses during the 200th day) in mid-April, a pattern that historically leads to deeper loss.

Currently, Bitcoin is hovering in a critical zone. A weekly close under $ 84,000 could confirm the bearish double top -scenario, while a push over $ 87,500 possibly invalid it, which could potentially rule the bullish momentum.