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BTCUSDT: Wave (4) Retracement and Potential Bullish Setup

Free crypto BTCUSD chart calls

Free crypto BTCUSD chart calls

Timeframe: Daily
After reaching an all-time high (ATH) of 108,353, BTC/USD appears poised for a retracement. Following the ATH, the price experienced a decline of 15.8%. This marks the completion of wave 3 at the ATH, with the price now moving towards wave (4). The projected end of wave (4) is near the 0.382 Fibonacci retracement level, around 87,074. Notably, wave B of wave (4) retraced 61.8% of wave A. A breakdown of wave A would signal that the price is entering a corrective phase.

A bullish scenario could emerge after the completion of wave C within wave (4), setting the stage for the start of sub-waves within wave (5). Traders should note that buyer pressure remains subdued unless a breakout of the channel occurs. It’s important to remember that only impulsive waves have the potential to break the channel and signal a significant move.

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