Bitcoin Fractal Suggests One Final Wave Down Before Major Rally
The price action of Bitcoin appears to be mirroring a previous cycle with striking precision, according to fractal analysis from Chartered Market Technician Tony Severino. If history repeats, BTC may be on the verge of a final corrective move before launching into a strong rally.Notably, it's been nearly three months of dipping prices in the crypto market. Bitcoin is currently trading 23% below its January all-time high. While many hope for a reversal soon, Severino believes the pump may not come just yet.Another Likely Correction Before the Next Leg UpIn his analysis, Severino compared Bitcoin's current market structure from 2024 to date with its 2018-2021 cycle. This revealed identical uptrends and correction phases.Both periods feature a double top formation (marked as "3" and "B" in the analysis) before a significant decline. Notably, the ongoing correction aligns with the historical pattern. It suggests BTC could see one more leg down to finalize Wave 4 before a re-accumulation phase begins.Severino's chart highlights that Bitcoin's past cycle bottomed around the 0.5 Fibonacci retracement level before launching into its Wave 5 bull run. The current price structure suggests a similar setup, with BTC potentially dipping to around $75,200 before reversing upward.
Text source: The Crypto Basic
