Bitcoin (BTC) has started a recovery this week, climbing to $89,000 after recent sharp declines, but analysts at cryptocurrency data analytics platform Delphi Digital warn that the risk is not over. In their latest analysis, they emphasized that $103,500 is a critical resistance level that Bitcoin must decisively break above to validate a new bullish uptrend.
Delphi Digital's technical assessment points to an Elliott Wave ABC pattern currently in play, which involves an initial upward move (Wave A), followed by a decline (Wave B), and then a anticipated rebound (Wave C). The firm noted that a breakout above $103,500 after this correction is essential for confirming the bullish scenario. Conversely, if Bitcoin forms a lower high below this level, it could signal a bearish outcome, potentially leading to a larger and prolonged pullback.
Additionally, the analysis highlighted concerns around stablecoins, specifically noting that Tether (USDT) dominance has broken through its long-term downtrend line with a reduction in weekly supply, which may not support a sustained rally environment. This insight adds context to the broader market conditions influencing Bitcoin's price movements.
