Bitcoin Price Forms Alarming Patterns Ahead of FOMC Minutes

Source: CryptoNewsNet Original Title: Bitcoin price forms alarming patterns ahead of the FOMC minutes Original Link: Bitcoin (BTC) has entered a technical bear market, having fallen approximately 30% from its all-time high of $126,250 to the current $89,000. The token has formed several bearish chart patterns, indicating a deeper decline in the coming weeks ahead of the Federal Open Market Committee (FOMC) minutes.

Key Catalysts

The Federal Reserve will publish minutes of the last monetary policy meeting at 2:00 p.m. Eastern Time. These minutes will provide additional detail on the recent rate decision. The Federal Reserve cut interest rates by 0.25% for the third consecutive time this year, bringing rates to between 3.50% and 3.75%, while hinting at one more cut in the coming year.

A Polymarket poll with over $1 million in assets predicts that the Fed will cut rates two times, with others expecting three cuts.

Technical Analysis: Bearish Patterns Forming

Bitcoin started a bull run at $15,460 on November 22, reaching a record high of $126,200 in October this year. However, signs suggest the bull run is ending as multiple bearish chart patterns have formed:

Chart Patterns:

• Rising Wedge: Made up of two ascending and converging trendlines
• Bearish Pennant: Composed of a vertical line and a symmetrical triangle pattern; the two triangles are nearing their confluence, suggesting an imminent bearish breakout

Technical Indicators:

• The Percentage Price Oscillator peaked in April last year and recently moved below the zero line
• The Relative Strength Index has moved below the neutral point at 50 and is pointing downwards
• Most critically, Bitcoin has moved below the Supertrend indicator, which turned red in November. The last time this occurred was in January 2022, followed by a decline from $52,000 to $15,460

Price Targets:

Bitcoin price will likely experience a strong bearish breakout, potentially to the key support level at $74,368 (its lowest level in April last year). A move below that level will indicate further downside, potentially to the psychological level at $70,000.

2026 Predictions

After a year of widely-missed price predictions, faith in crystal-ball targets has diminished. By the end of 2025, bold price target narratives were replaced by cautionary scenario ranges rather than firm guarantees.

Predictions now span a wide range:

• Bull Case: Bitcoin climbing from $150,000 to $250,000, driven by spot ETFs, Wall Street adoption, and looser monetary policy
• Bear Case: A potential drop to $70,000 or even $60,000

The consensus? Bitcoin’s trajectory in 2026 will depend less on halving cycles and more on liquidity, regulatory developments, and whether institutions continue buying when technical patterns deteriorate.