Bitcoin Slips to $94.7K: A Buy-the-Dip Moment or Trouble Ahead?

Bitcoin’s recent drop from $98K to $94.7K has rattled the market, leaving traders and investors wondering: Is this just a healthy pullback or the beginning of a larger downturn? Let’s dive into the key levels and indicators shaping Bitcoin’s next move.

Crucial Price Levels to Monitor

Bitcoin is currently hovering around $94.7K, just below the critical $98K resistance. The $96K level acts as a pivotal support — holding above it could reignite bullish momentum. However, slipping below this mark could spell trouble.

Potential Upside:

- If Bitcoin breaks past $98K, it could target $100K and $101K in the near term. Sustained buying pressure might even propel it toward $120K by early 2025.

Potential Downside:

- Failing to hold $93K could lead to a deeper drop, with key supports at $91.5K and $88K.

What the Market Indicators Are Telling Us

1️⃣ Trading Volume:

- Recent spikes in trading volume during price dips suggest buyers are accumulating, rather than panicking. A sustained high volume near $94K-$96K would confirm bullish intent. Conversely, weak volume during upward moves could indicate limited buyer interest, increasing the likelihood of further corrections.

2️⃣ RSI (Relative Strength Index):

- Bitcoin’s RSI has cooled to a neutral level around 50, offering room for a rebound. If RSI moves above 60, it could confirm renewed bullish momentum.

3️⃣ Elliott Wave Analysis:

- Bitcoin appears to be in the corrective phase of its fifth wave. This phase typically involves consolidation and smaller pullbacks before another strong upward move. If the Elliott Wave pattern holds, Bitcoin could soon resume its rally, targeting $101K and beyond.

Strategic Moves for Traders and Investors

Short-Term Trading Strategies:

Buy-the-Dip Opportunity:

- If Bitcoin remains above $93K, this could be an excellent buying zone for a rebound toward $96K or higher. Consider placing a stop-loss at $91.5K to manage risk.

Breakout Plays:

- A breakout above $98K with strong volume could signal a rally toward $100K or $101K. Enter after confirmation and set your stop-loss below $96K.

Trailing Stop-Loss for Volatility:

- Use a trailing stop-loss around $96K to lock in profits if Bitcoin climbs. For example, if Bitcoin hits $98K, set your stop-loss at $97K to secure gains while staying in the trade.

Long-Term Accumulation Strategies:

Dollar-Cost Averaging (DCA):

- Long-term holders can take advantage of this dip by gradually buying at key levels like $93K, $96K, and $98K. This strategy helps mitigate the impact of short-term volatility.

Hold Through the Noise:

- Elliott Wave analysis suggests Bitcoin’s long-term trajectory remains bullish, with a potential target of $120K by early 2025. Stay patient through minor corrections and focus on the bigger picture.

Final Thoughts

Bitcoin’s dip to $94.7K is a natural correction in an overall bullish trend. The next few days will be critical, as key levels like $93K and $96K will determine whether Bitcoin resumes its upward momentum or continues to slide.

Whether you’re a short-term trader or a long-term holder, understanding these levels and market signals can help you make informed decisions. The market is volatile, but with the right strategies, you can navigate these fluctuations and seize the opportunities they create.

My Profit today:

👉Get Free Simple Trading Ebook HERE

****** BEST CRYPTO EXCHANGE with exclusive BONUS ******

• BINGX free $5,000 bonus : Join Now
• BINANCE $300 bonus + safest: Join Now
• BITGET: $6200 welcome gift: Join now
• BYBIT free $30,000 bonus : Join Now

👉VPN Deal Here

Bitcoin Slips to $94.7K: A Buy-the-Dip Moment or Trouble Ahead? was originally published in The Capital on Medium, where people are continuing the conversation by highlighting and responding to this story.