AP English Literature had a 94 average for the year, and scored a 4 on the AP test. I am stressing about the whole transcript issue. I will be in honors and AP classes my senior year. I have lots of other interests and awards. I don't see any reason why you wouldn't still be in the candidate pool.
Colleges prefer students to seek a challenge.
You have shown a consistent pattern of doing that. Believe me, the difference between that C and a B on your GPA is minuscule. What would concern me more is that you are not taking any math in your senior year. You may be asked why you chose to do that. Valid responses are possible, so you may need to think that through.