Bitcoin Teeters on the Edge: Fibonacci Resistance Could Trigger a Plunge to $94,000

Bitcoin''s bull run faces its toughest test yet as a key Fibonacci resistance level threatens to send prices crashing.

The $94,000 support level—once unthinkable—now looms as a real possibility if bulls can''t break through.

Technical traders are watching the charts like hawks, while long-term holders shrug—after all, what''s another 50% drop in crypto?

Will this be the moment when TA finally works as advertised, or just another fakeout for the chart-gazing crowd? Only time will tell—but the market''s never short on drama.

Meanwhile, Wall Street analysts are already drafting their ''I told you so'' reports—just in case.

Final Fibonacci Resistance Holding The Line

According to a new analysis shared by pseudonymous crypto analyst XForceGlobal on the social media platform X, Bitcoin’s current corrective structure could deepen if it fails to overcome the 88.6% Fibonacci resistance level. The analyst highlighted that the bullish impulse that carried bitcoin now appears to be losing steam. 

The price zone around $110,500, which is marked by the 88.6% Fibonacci resistance, has not been convincingly breached, casting doubt on the strength of the current wave structure. Bitcoin tested this level twice earlier this week, and, as noted by the analyst, if this resistance level fails to break soon, there is a slight possibility of a deeper pullback. 

If this pullback does occur, this WOULD lead to the formation of a corrective wave C, and with distinct symmetry in an ABC corrective pattern. In this case of the corrective Wave C playing out, the next central area of interest lies around the $94,000 level, an area that aligns with the completion of a larger impulse Wave 2.

Wave 2 Dip To $96,000 Before Bullish Wave 3 Begins

The rundown of a corrective Wave 2 and a bearish impulse Wave 2 is based on the outlook of Bitcoin failing to clear the 88.6% Fibonacci resistance at $110,000. Applying the Elliott wave count on the current price action shows that the recent push to $111,814 all-time high was a larger bullish impulse Wave 1. However, the ensuing correction since then has also played out in the FORM of a sub-wave 123 structure, and an ABC corrective pattern. Altogether, these are expected to make up a larger corrective impulse Wave 2.

Nevertheless, XForceGlobal noted that Bitcoin is still in a highly bullish structure on the macro level. If the price action plays out this way, the next MOVE after the impulse Wave 2 to $94,000 would be a reversal upwards with bullish impulse Wave 3. In this case, the analyst projected an expansion move that would send Bitcoin to another all-time high. Notably, the price target in this case would be a surge above $118,500. At the time of writing, Bitcoin is trading at $105,000, down by 2.5% in the past 24 hours.