Bitcoin has had an electrifying few weeks, riding close to its all-time highs and grabbing headlines everywhere.
But behind that bullish excitement, some analysts are warning that the rally might hit a few speed bumps.
In fact, technical patterns and market gaps suggest the price could be heading for a short-term dip—before any further surge.
Let’s break down what’s really going on behind the scenes of Bitcoin’s recent price action.
That Sharp Rebound Might Be a Red Flag
Crypto analyst Youriverse has taken a closer look at Bitcoin’s charts and spotted a V-shaped pattern forming after Bitcoin soared past $123,000.
Normally, that kind of recovery might feel like a win—but in the world of technical analysis, it can be a sign that sellers are taking control.
In this case, the V-shape may be pointing to an increase in profit-taking, suggesting bearish momentum is building.
If history is any guide, this might just be the beginning of a broader cooldown phase.
Price Gaps on the Charts Could Pull BTC Down
So, what exactly is dragging the price down? It comes down to what analysts call Fair Value Gaps (FVGs)—areas where price moves so quickly that it leaves behind “gaps” on the charts.
Bitcoin created two such gaps on its 4-hour chart. One of those has already been filled after prices dipped from around $120,000.
But there’s still another gap sitting above the $111,000 mark.
That’s the previous all-time high level, and it’s now acting as a kind of magnet for price action.
As more investors cash out their gains, selling pressure could increase enough to drag Bitcoin back down toward that level.
The Weekend’s CME Gap Adds More Downward Pressure
Another sign pointing toward a possible retracement is the CME gap that formed over the weekend.
The price tried to revisit the $114,000 to $116,000 range earlier this week but didn’t quite get there.
If Bitcoin drops again to fill that gap fully, it could open the door to even more downside movement—potentially filling that second Fair Value Gap near $111,000.
It’s Not All Bearish—Some Bulls Are Still Charging
Even though these gaps and patterns raise red flags, Bitcoin isn’t without hope.
There are still signs of bullish energy in the market.
For one, trading volume is climbing alongside price, suggesting that buyers haven’t completely stepped away.
According to Coinglass, daily trading volumes have been averaging more than $100 billion this week—a pretty significant show of activity.
Sentiment Remains Optimistic (But Not Overheated Yet)
The Bitcoin Fear & Greed Index is still sitting comfortably in the “Greed” zone, but hasn’t yet crossed into the Extreme Greed territory.
That’s usually the point where bubbles are most at risk of popping.
There’s also the matter of open interest, which is hanging out near its all-time highs.
That could still push the price upward briefly before any significant correction.
Bottom Line – What Comes Next for Bitcoin?
Right now, Bitcoin is teetering around $118,000 as it tries to balance bullish enthusiasm with mounting selling pressure.
The next few days could be critical.
If price action dips enough to fill those remaining gaps, especially near $111,000, a new wave of buying might kick in to send it higher.
Until then, this back-and-forth between bullish optimism and bearish correction is likely to keep investors—and the market—on edge.
