Bitcoin Next Move Hinges On Critical $96,600 Region – Here’s Why
Bitcoin’s price has not seen overall gains over the past week as the major cryptocurrency continues to experience a market correction. Despite multiple gains, Bitcoin Efforts to break above $100,000 resistance Price performance continued to diverge in December Early Bullish Predictions. Amid this development, market analysts continue to roll out predictions about Bitcoin’s potential price movement.
Has Bitcoin price peaked?
exist X posts On December 27, cryptocurrency technical analysis platform More Crypto Online shared an interesting prediction about Bitcoin’s current correction. Using the Elliott Wave Theory, these market analysts drafted two opposite predictions for the BTC market, called the Yellow Scenario and the White Scenario.
For context, Elliott wave theory is a form of technical analysis based on the belief that financial markets move in repeating fractal patterns, called waves, that can be used to predict future price movements. Since Bitcoin is currently in a correction structure, which is contrary to the bullish market trend, the white scenario indicates that Bitcoin has completed the B wave and set a local price top on December 26.
Currently, the major cryptocurrency is moving in wave C with potential price targets in the low to mid-$80,000 price area. The initial support area for this bearish move is around $95,068 to $96,670. However, as Bitcoin hits new lows, these resistance areas will be readjusted.
On the other hand, the yellow scenario shows that the B wave that ended in the white scenario is still developing as part of a larger corrective structure and has not yet recorded a price top. However, for this yellow scenario to take effect, BTC would need to break above $96,673, indicating that the uptrend continues. Therefore, as long as this price area is not broken, the white scenario remains the dominant outlook for the Bitcoin market.
Bitcoin Price Overview
At the time of writing, Bitcoin is trading at $94,790, down 1.04% in the past 24 hours. Meanwhile, daily trading volume increased by 10.35% to $52.24 billion. After a week of near-balanced gains and losses, the leading cryptocurrency has lost 2.00%, with its monthly performance slipping into negative territory.
For market bulls, a break above $96,600 remains a priority based on the Elliott Wave theory, however, the main resistance is at $100,000, which has proven to be an effective resistance in recent times. Overall, optimism in the Bitcoin market continues to remain high, especially as the inauguration of U.S. President-elect Donald Trump approaches, which is expected to herald a new era of pro-cryptocurrency policy.
