Bitcoin is holding strong above $95,500 for now, but according to analyst Crypto Patel, a major correction could be around the corner. In a detailed Elliott Wave analysis shared with his 75,000 followers on X, he outlined a possible scenario that could send Bitcoin tumbling back toward the $50,000 zone.
While he admits he’s not a fan of this setup himself, he urges traders to stay alert, especially if Bitcoin fails to break above a crucial resistance level.
The chart shows that Bitcoin may have already completed its five-wave impulse move to the upside, a typical sign that a corrective phase could be next. Crypto Patel believes we are now in the middle of an ABC correction. If this analysis holds, then Bitcoin is currently forming wave (B), which could climb as high as $98,000 before wave (C) kicks in; and that’s where the real danger lies.
The key level to watch is $105,000. That’s where Patel says things could flip. If Bitcoin breaks and closes a high timeframe candle above that level, the bearish scenario would likely be invalidated. But if it gets rejected or fails to hold above it, then the market could face a huge drop.
His chart outlines a potential wave (C) that would take BTC all the way down to key Fibonacci retracement zones. First support comes in near $62,500, but a more realistic drop could take it to $51,700 or even $47,800 – where multiple technical indicators align. Beyond that, deeper retracements could bring Bitcoin to $44,000, $32,600, or in a worst-case scenario, as low as $27,000 or even $23,000.
All of these levels are drawn using Fibonacci tools and past wave structures. The chart also shows how the previous wave (4) bottomed in mid-2024, and the coming wave (C) might dive even lower. The structure follows Elliott Wave Theory closely, suggesting that unless Bitcoin reclaims higher ground quickly, it may be entering a broad correction that could last for months.
Patel adds a clear warning in his tweet: “Don’t follow blindly – but do keep this scenario in mind while planning your trades.” He emphasizes that this is his personal view and not financial advice, but given the clarity of the structure, it’s worth keeping an eye on.
Right now, Bitcoin is trading near $96,000. The market feels bullish, but hidden within that momentum might be a setup for a sharp reversal. If Patel’s view plays out, this correction could be deeper than many expect.
In short, the next move depends heavily on how Bitcoin behaves around $98,000 to $105,000. If it breaks above with conviction, the bullish trend could continue. But if it gets rejected, the bearish wave (C) might take over – and the road down could lead to $50,000 or even lower.
Read also: Bitcoin’s Worst Nightmare? Kaspa’s Crescendo Fork Sparks a New Crypto Arms Race
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