BTC Price Setups Suggest Possible Surge to $120K

Bitcoin (BTC) paused after Friday’s weaker-than-expected U.S. jobs report, which reinforced expectations for Federal Reserve rate cuts, but technical charts point to a potential bullish reversal.

Short-term analysis indicates BTC is developing an inverse head-and-shoulders (H&S) pattern, a classic signal that often precedes a price rally.

The inverse H&S consists of three troughs: a deeper central trough (the “head”) flanked by two smaller troughs (the “shoulders”). The neckline, a horizontal trendline connecting the peaks between these troughs, acts as the key breakout level. A move above the neckline typically signals a trend reversal, with a target roughly equal to the distance from the head to the neckline.

At present, BTC appears to be forming the right shoulder, with neckline resistance at $113,378. A breakout above this level could open the way toward $120,000. Conversely, a decline below $107,300 would invalidate the pattern, shifting attention to the 200-day simple moving average near $101,850 and reinforcing a bearish scenario on the daily chart.