Bitcoin Faces $56 Million Liquidation Challenge; Will BTC Price Hit The $49K Mark

The post Bitcoin Faces $56 Million Liquidation Challenge; Will BTC Price Hit The $49K Mark appeared first on Coinpedia Fintech News

Cheeky Crypto recently reported a surge in Bitcoin liquidations, totaling $56 million, with 62.85% attributed to short positions. The market witnessed significant volatility, experiencing a downward move followed by an upward swing, presenting opportunities for traders.

The report highlights the recent market dynamics, stressing a potential correction in Bitcoin’s price. The analysis points to a target range of $42,319 to $42,196, with a focus on the recent wave movements. Cheeky Crypto identified a crucial support area between $41,250 and $41,946, anticipating a bounce upwards before a potential continuation of the downside move. The analysis considers the importance of reaching specific support levels, such as the 50 EMA at $41,100.

The analyst’s assessment incorporates Elliott Wave Theory, indicating the completion of a fifth wave and the beginning of a corrective phase. The report suggests a bounce upwards before a potential further decline, with attention to key support zones.

Will Bitcoin Touch $49k?

Analyst Dark Defender also shared about Bitcoin’s price, highlighting a key level at $29,058 on October 21, 2023. The analysis suggested that if Bitcoin closed above this level, it could potentially rise to $49,667; otherwise, a fallback to $18,000 might occur.

With weekly and monthly closures above $29,000, confirming the $49,000 target, Dark Defender identified this as a “#Corrective B Wave.” Drawing parallels with a past corrective action (2017-2019), Bitcoin’s current pattern appears similar. The focus now is on Bitcoin’s performance around the $49,000 Fibonacci Level. Dark Defender anticipates a significant response if Bitcoin approaches this mark.

Scenario 1 envisions Bitcoin touching $49,000, experiencing a small rebound, and attempting a breakthrough. Dark Defender raises the question of whether this signifies the end of the Corrective B Wave and the start of the Corrective C Wave. The analysis suggests the corrective phase might extend to $65,000-$69,000.

Expecting the Corrective C Wave, regardless of Bitcoin touching $49,000 or $69,000, Dark Defender foresees Bitcoin reaching its peak again. However, the final correction’s last leg is predicted to commence around 2024 Q4, targeting $18,000.

He wrote, “So I think BTC will top again. However, we will see the last leg starting somewhere correction in 2024 Q4, aiming for $18k  with the final correction.”