BitcoinThe weekly chart of is at a key point and the price trend is staying around key structural levels. Traders are now wondering whether this move is the beginning of further deepening. correction Or a healthy integration before the next leg goes up.
Elliott wave signal coincides with ongoing correction
At Elliott Wave Academy, latest An analysis that tracks Bitcoin’s expected wave path on a weekly time frame has raised important questions. That means that a correction wave has begun. Recent market structure indicates that the bullish leg is likely completed and price may be moving into a correction phase. Previous Upward Significant Support Level wave has been broken, suggesting that a wave reversal is underway.
The evidence for this transition becomes even stronger when we observe the break below the lower limit of the diagonal pattern and the final price channel. Both of these structures have previously played powerful roles. I support During Bitcoin’s impulsive rise, its breakdown now suggests that market control is gradually shifting from buyers to sellers.
Bitcoin is currently trading below the lower bound of the price channel and has turned into a major resistance zone. As long as prices remain below this zone, bearish sentiment remains and the market is likely to remain cautious.
Despite the weakness, there are signs that the descending subwave may be nearing completion. This structure suggests that a short-term upward correction wave may emerge as the market stabilizes and regains footing.
Expected outlook
Elliott Wave Academy shared its predictions and noted that Bitcoin may continue to stabilize around current levels. bull trying to protect their position. This phase of sideways movement often reflects a period of indecision in the market, where both buyers and sellers are waiting for confirmation before embarking on the next big move.
However, the Academy cautioned that the market could face a potential reversal if signs of weakness start to appear near the current resistance zone. This change could create new bearish pressure and push Bitcoin into a deeper correction.
Analysis suggests correction could extend to 50%-61.8% Fibonacci retracement level A look at the previous rising wave. These Fibonacci zones often serve as important support areas during correctional moves, and a decline into these ranges could provide a more stable foundation for a future bullish reversal.
Ultimately, it will be essential to monitor price movements around these important levels in the coming days. Whether the market holds firm on a consolidation or slides into a deeper retracement, future movements in these zones could set the tone for the next phase of Bitcoin’s secular wave. cycle.
Featured image from Pixabay, chart from Tradingview.com
