Veteran analyst Peter Brandt warns that Bitcoin must reclaim the critical $117,570 level to avoid forming a double top pattern, which could signal a bearish reversal and lead to a market downturn.

The crypto community is closely watching Bitcoin’s price action over the coming days to see if it can break above this key resistance or if it will confirm the double top pattern, potentially triggering further declines.

Despite the technical concerns, Brandt emphasizes that his outlook is neutral, based purely on technical patterns rather than market bias, as Bitcoin remains in a downward-sloping channel since mid-August.

Meanwhile, Bitcoin's integration into the global financial system continues to grow, with $33.6 billion inflows into Bitcoin ETFs in Q2 reflecting increased institutional adoption.

Recent price drops below support at $112,210, driven by a major whale sell-off liquidating 24,000 BTC (over $2.7 billion), contributed to a $4,000 decline and increased volatility.

Despite volatility, Bitcoin is evolving beyond a store of value towards practical utility, including enabling transactions, payments, and borrowing, which are vital for its ongoing relevance.

A move above $117,570 could signal renewed bullish momentum, with some targets as high as $125,000, while failure to break this resistance might lead to a market correction.

Recent profit-taking by long-term holders and the failure to surpass resistance levels support a cautious outlook, especially if Bitcoin cannot break above the key resistance.

Industry experts viewed the recent whale liquidation as somewhat clumsy, but it contributed to increased supply pressure and volatility in Bitcoin's price.

Market sentiment remains mixed: some analysts cite on-chain indicators supporting strength, while others warn of potential downturns based on the persistent double top pattern observed over the past seven weeks.