Bitcoin is in a deep crisis right now. It’s price action as well though that’s acting very irrationally and erratically, and cautionary advanced warning signs are forming on market charts. The cryptocurrency is consolidating after its breakout rally now priced at roughly $109,510. Yet ironically, analysts are warning that corrective moves could be coming.

A look at technical analysis on Bitcoin’s 30min chart shows neutral RSI momentum indicating neither overbought or oversold conditions. The Moving Average Convergence Divergence (MACD) indicator is moderately bearish suggesting downward pressure.

The 2-hour chart tells a story of strong momentum at the top of the upper Bollinger Band. The RSI in this timeframe remains a beacon of cautious optimism as it approaches overbought territory. This development may indicate Bitcoin is getting ready for the next big price run.

Even with all these promising signs, Sergei Gorev recently warned investors to look out for new, dangerous trends.

"Head and Shoulders" - Sergei Gorev

A massive “Head and Shoulders” pattern is developing on Bitcoin’s chart. That could prove the correction started a few weeks ago, taking Bitcoin’s price down to as low as $92,000 per BTC.

This trend has accelerated as investors chase higher returns and gravitate toward more speculative assets such as Bitcoin. This trend is a result of their increased worries regarding the security of traditional currencies. That surge in the price of bitcoin has been tremendous. These increases are usually followed by corrective moves, further displaying the volatility that characterizes the crypto markets.