Reason to trust
How Our News is Made
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Ad discliamer
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Bitcoin (BTC) tumbled below the critical $110,000 mark on Tuesday after a whale offloaded 24,000 BTC worth approximately $2.7 billion.
The massive sell order sparked a sharp market reaction, wiping out $205 billion from crypto market capitalization and triggering over $930 million in liquidations across leveraged positions.
This sudden downturn pushed BTC to its lowest levels in nearly two months, with intraday lows near $109,000. Analysts warn the correction could extend further, as technical patterns point to a possible continuation of the Elliott Wave C move toward $105,000.
Technical Signals: $105K or $108K in Play
Market analysts project that Bitcoin’s rejection at $117,000 over the weekend set the stage for this decline. According to Elliott Wave Theory, Wave C often mirrors Wave A in length, making the $105,000 zone a prime target.
This area also coincides with Bitcoin’s Point of Control since April and the anchored VWAP support line, adding weight to the bearish case.
However, a strong counter-argument exists. The $107,000–$108,000 range, representing the 61.8% Fibonacci retracement of the June-to-August rally, holds significant buying interest.
Data from Bookmap shows clustered orders at this level, suggesting it could act as a reversal point if buyers step in aggressively.
Invalidation Levels and Market Outlook
Despite the bearish tone, analysts caution that a Bitcoin daily close above $110,000 could flip sentiment.
Such a move would indicate a possible liquidity grab rather than a full-blown Wave C continuation. A stronger confirmation would come if Bitcoin reclaims $112,000, signaling the downside break was corrective, not impulsive.
For now, traders are advised to watch the $108,000 support zone closely. A breakdown could accelerate selling pressure toward $105,000, while a decisive bounce might restore short-term momentum.
BTC's price trends to the downside on the daily chart. Source: BTCUSD on Tradingview
What to Expect Next for Bitcoin Price
Bitcoin’s sharp sell-off gives a clear picture of the delicate balance between whale activity, technical structures, and macroeconomic uncertainty.
In the near term, analysts caution that downside risks remain elevated, with $108,000 emerging as the key support level. A failure to hold this zone could pave the way for a deeper correction toward $105,000.
On the flip side, a recovery above $110,000, and especially $112,000, would invalidate the bearish Wave C scenario, signaling that the pullback was corrective rather than the start of a larger decline.
Cover image from ChatGPT, BTCUSD from Tradingview
