If the stock is unable to hold that critical $130 price, a new phase of short-term trading patterns will begin, taking NVIDIA to a target price of $120. That would also form a short-term bearish pattern of lower highs and lower lows for NVIDIA stock.

Recently, the stock has fallen around 10% from its all-time highs, which some may consider a buying opportunity. However, Nvidia has done so well over the past few years that other investors are concerned that it may have reached its top.

Nvidia is once again the most valuable U.S. company, outranking Apple for the first time since late November. A rise in the chip maker's stock meant it ended Tuesday with a market capitalization of $3.