Bitcoin Absorbs The Flush: Quantum Structure Signals Wave (3) Toward $104,000

Overview

Bitcoin has recently navigated a significant sell-off, stabilizing at crucial support levels and indicating that buyers are firmly in control of the market. Analysis from Quantum Models suggests that the cryptocurrency is in the midst of a bullish phase, with potential upward movement anticipated in the near future.

Market Analysis

Bitcoin has absorbed a sharp sell-off, managing to stabilize at key support levels, which points to a strong presence of buyers in the market. The Q-Structure confluence zone has been identified as a pivotal area that continues to support a bullish outlook for Bitcoin. This zone has effectively absorbed selling pressure, indicating that larger market participants are actively defending these critical price levels despite the volatility experienced recently.

Recent analyses categorize the latest pullback as a complex corrective phase rather than the onset of a larger downtrend. This correction is being interpreted as Intermediate Wave (2), characterized by a Zigzag W | Zigzag X | Triangle Y pattern. As this corrective pattern is largely resolved, the focus shifts to the progress of Intermediate Wave (3), with Minor Waves 1 and 2 already taking shape. This development suggests that the market is laying the groundwork for a more decisive upward movement.

The pivotal aspect that remains in development is the impulsive Minor Wave 3, which historically represents the most vigorous and aggressive phase of an advance. If this wave unfolds as anticipated, it could lead to a significant price target based on the Q-Structure λᵣ projection. This bullish scenario is derived from insights within the Quantum Models framework and is not merely a reaction to short-term market fluctuations.

In terms of current price actions, Bitcoin experienced a sharp flush but managed to attract buyers at critical support levels, allowing for stabilization and a gradual upward grind. This behavior indicates that the recent sell-off was met with strong demand rather than panic selling, reflecting a healthy level of market participation from buyers at key price zones.

The emergence of a higher-low structure following the drop is particularly noteworthy. This formation suggests that downside pressure is diminishing. As long as Bitcoin maintains its position within this reclaimed range, the risk of a more profound sell-off decreases, while the potential for further upward movement remains intact. Sideways or consolidating price action at these levels is viewed as constructive for the overall crypto market, setting the stage for a healthier and more sustainable advance for Bitcoin rather than a hasty or volatile rebound.

From author

The current market dynamics surrounding Bitcoin indicate a moment of resilience amid volatility. The absorption of the sell-off at key support levels is a positive sign for bullish sentiment. The identification of corrective waves within the Elliott framework provides a structured approach to understanding the potential trajectory of Bitcoin’s price movements. Observing how the market develops from here will be critical in assessing the sustainability of this bullish outlook.

Impact on the crypto market

• Bitcoin has demonstrated resilience by stabilizing at key support levels, reflecting strong buyer interest.
• The current market structure indicates a potential bullish phase, which could influence investor sentiment positively.
• The development of Intermediate Wave (3) suggests that the market is preparing for a significant upward movement.
• The absorption of selling pressure highlights the presence of larger participants, which could lead to increased market stability.
• Sideways or consolidating price action can contribute to a healthier overall market environment, reducing the likelihood of sudden downturns.