Bitcoin (BTC) Price Prediction: Risk Falls To $50,000-$60,000 If Price Reclaim Fails

Bitcoin has produced an impressive price performance in the past two weeks, moving from around $85,000 to trade as high as $97,700.

Bitcoin has shown an impressive price performance over the past two weeks, recovering from the $85,000 zone to trade as high as $97,700. However, despite this recent bullish performance, the prospects of a long-term price uptrend in the BTC market remain uncertain.

Currently, the premier cryptocurrency is trading at $96,000 as the market continues to consolidate after a 4% price rally in the first two days of May.

Bitcoin Risk Falls To $50,000-$60,000 If Price Reclaim Fails

In an X post on Wednesday, a digital market expert with the X handle BALO has stated a necessary price condition for Bitcoin to retain its bullish market structure in the short term. Using the Elliott Wave Theory and Fibonacci extension/retracement levels, BALO highlights on the weekly BTC/USDT chart that Bitcoin has peaked at around $97,000, which aligns with the top of wave 5.

The Elliott Wave Theory operates on the premise that price movement occurs in a recognizable repeating pattern. Generally, it consists of two phases – impulse phase (wave 1-5), which represents the current market trend, followed by the pullback phase, i.e., corrective phase (wave ABC).

After completing wave 5 of the impulse phase, prices usually slip into the pullback phase. Thus, BALO’s analysis indicates that Bitcoin is likely to experience a price correction after its most recent rally. However, this bearish prediction can be invalidated if Bitcoin reclaims its next price resistance at $102,000, confirming a long-term bullish intent.

If a price rejection occurs at $102,000, Wave A is expected to begin, pushing BTC prices to around $70,000. Afterward, there will be a slight relief bounce to around $102,000, marking Wave B before the last corrective wave (C) sets in, pulling Bitcoin prices as low as $50,000-$60,000. Interestingly, BALO predicts that Bitcoin will enter a bullish market again after this correction, potentially trading as high as $122,000.

BTC Price Prediction

At the time of writing, Bitcoin is trading at $96,106, reflecting a price decline of 1.31% over the past 24 hours. Meanwhile, the asset’s daily trading volume has decreased by 38.19%, indicating a significant reduction in market interest despite recent gains. According to data from Coincodex, the general sentiment in the Bitcoin market is bullish, with investors showing a strong level of greed.

Amidst these market conditions, Coincodex analysts predict that Bitcoin will continue its uptrend in the short term, reaching a price of $119,528 in five days. However, they also anticipate a price correction followed by a larger breakout, as indicated by price targets of $111,747 in one month and $136,026 in three months.