Bitcoin Elliott Wave Count Suggests Possible Drop to $94,000 Before Recovery

Bitcoin shows volatility again, with analysts projecting a drop to $94,000 before a potential recovery to new all-time highs. An Elliott Wave count indicates the current Wave 2 correction might push Bitcoin down further, but could also present an opportunity for accumulation. Despite this expected decline, the forecast remains bullish, hinting at a robust Wave 3 ahead with targets above $122,000.

Bitcoin has been experiencing notable volatility recently, and analysts are cautioning that this downward trend may continue. New projections suggest a potential dip towards $94,000 not too far down the line. This comes from an Elliott Wave count which indicates Bitcoin is currently in a precarious position that could lead to further losses, even as the market shows some signs of a rebound. However, the analysts also mention that after this expected downturn, Bitcoin might rally again to new heights.

Luca, a crypto analyst active on X (previously Twitter), shares a gloomy forecast that suggests Bitcoin is in for more challenges shortly. His Elliott Wave analysis indicates that Bitcoin has not yet hit rock bottom. In his detailed 8-hour chart analysis, he outlines that Bitcoin is undergoing a Wave 2 correction within a larger bullish trend. This analysis shows a five-wave corrective pattern emerging and hints that the final leg may drive the price down to the $94,000 support area. This target aligns with the 0.382 Fibonacci Retracement level—a critical marker in trading.

Though there are some indications that we could have reached the bottom of this correction, Luca warns that one final decline might still be on the horizon before Bitcoin gets ready for its next upward movement. The expected drop towards $94,000 could mark the end of the internal Wave (v) of Wave 2, potentially completing this corrective cycle.

As it stands, Bitcoin’s price is above the critical psychological barrier of $100,000, trading at around $105,574. A drop to $94,000 would be a significant setback, which would reflect an 11.3% decline, certainly affecting the cryptocurrency’s gradual recovery. The anticipated fall could put even more pressure on an already turbulent market. Nevertheless, Luca believes this could also be a good time for investors to accumulate Bitcoin, suggesting that savvy buyers might find value in the approaching dip.

Looking ahead, even with the looming potential for further declines, Luca’s overall perspective on Bitcoin remains quite optimistic. He points out that the Elliott Wave analysis shows BTC is gearing up to transition out of Wave 2 and enter Wave 3. This phase is typically one of the most impactful in a five-wave structure. After the predicted correction down to $94,000, Luca is poised for a substantial reversal that could push Bitcoin to new all-time highs.

His chart notably features a large purple arrow indicating the expected surge associated with Wave 3, suggesting targets beyond the $122,000 mark. This optimism is based on historical data showing that Wave 3 is usually the steepest within the cyclical pattern. With Bitcoin still finding support near a strong zone, the stage seems ready for a significant bounce-back in the upcoming weeks, assuming no drastic changes in broader market dynamics.