Bitcoin rebounded from a dip below $80,000, but analysts say the recovery must reclaim at least $84,000. One longer-term scenario sees a drop to $68,000 before a move toward $114,000-$125,000.
Bitcoin rebounded from the dip below $80,000, yet the risk of another deep correction has not been completely eliminated. Analysts are watching the $84,000 resistance as the immediate recovery level.
Analyst says $84,000 must be reclaimed
Daan Crypto Trade argued that BTC managed to sweep liquidity while still saving its daily close. He warned, however, that the recovery now needs to continue, which it hasn't.
The analyst said BTC must reclaim at least $84,000 in the coming trading days, because remaining and consolidating below it could leave the asset vulnerable to another gradual move south. A recovery above that level would instead put the untapped highs around $87,000-$88,000 back in focus.
This matches recent price action. The asset has repeatedly struggled around the $84,000 area after tumbling toward $80,000. Weakening buyer pressure has intensified uncertainty, and a higher-than-expected September CPI reading dealt another blow to the macro landscape earlier this week.
A 22% pullback would mean $68,000
Fellow analyst EGRAG CRYPTO noted that investors should not necessarily interpret another substantial correction as the end of the bull market. Using a 2023 fractal, he added that BTC previously experienced a 22% pullback before its next major expansion wave.
Applying similar math to the current numbers would mean a drop to $68,000. EGRAG identified $84,800 as the 0.5 Fibonacci "battlefield" and $68,000 as a possible shakeout zone before a potential move toward $114,000-$125,000, provided the broader structure remains intact.
Source: CryptoPotato
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