- Bitcoin may complete a correction at $97000 before starting a new bullish wave toward the $116000 target.
- The two-wave pattern suggests a possible sharp recovery after price hits the 1.272 Fibonacci extension area.
- A breakout above $105000 may confirm strength and push Bitcoin back above $110000 to resume its upward trend.
Bitcoin (BTC) is trading at $100,589 after losing $2,150 in the last 24 hours, signaling short-term bearish pressure. Current market structure on the 4-hour chart suggests a likely move toward the $97,000 support area before a rebound. The pattern shows a completed correction wave “1” and a forming wave “2” that could push BTC deeper before any strong upside.
Source: X Price action earlier in June showed a sharp move upward from around $94,000 to $105,000, followed by a pullback and a brief consolidation. The rally gained 6.45%, equivalent to a $6,470 gain, before reversing. Now, Bitcoin is testing previous support zones, with the price already dipping below $101,000.
If Bitcoin breaks below $97,000, can the market quickly recover to meet the projected $116,000 target in early July?
Technical Setup Suggests Two-Wave Correction
The visual structure reflects a clear two-leg correction scenario. Wave “1” marked the first major retracement from $105,000, and current action suggests wave “2” is forming. This would ideally end near the 1.272 Fibonacci extension around the $97,000 level.
This structure appears within a larger consolidation phase, where price reacts to defined support and resistance blocks. The projected trajectory then shifts to the upside, targeting zones above $110,000 and up to $116,000. This projection aligns with earlier bullish structures observed before the mid-June drop.
Chart data indicates repeated rejections near $105,000 and failed follow-through above key highs, which contributes to the current bearish tilt. However, the retracement may set the foundation for a new upward cycle.
Volume and Momentum Shift as Support Gets Tested
Price has now entered a key liquidity area below $101,000, with support next expected around $97,500 to $96,000. This zone could trigger a bounce if buyers regain control near the Fibonacci target.
Despite the pullback, volume remains moderate, suggesting that a flush below support might draw interest. If price wicks into the 1.272 extension and holds, traders may enter early longs on confirmation of structure.
The chart projects a sharp rise from this base, with a steep incline toward $108,000 and later to $116,000. This potential rally may unfold rapidly if the price reacts well at wave “2” and breaks above previous lower highs.
Mid-Term Targets at $108K and $116K Remain Active
The long-term projection indicates that a bullish reversal from the $97,000 region could reclaim lost momentum. The charted arrow path shows a rise to $108,000 as the first key target, then continues toward $116,000.
For this scenario to play out, Bitcoin must recover above $102,000 and break resistance around $105,000. These levels mark critical areas where previous sellers gained control.
The bullish outlook depends on whether BTC can maintain structural integrity after completing its two-wave correction. Once confirmed, momentum could accelerate, pulling the asset toward the higher $110,000 range.
