Bitcoin (BTC) Price Stalls Below All-Time High — Last Shot at Buying the Dip

Key Takeaways

• Bitcoin (BTC) has increased by nearly 40% since its April lows.
• The BTC price failed to reach a new all-time high (ATH) by 3%.
• Will BTC reach a new all-time high, or does a flash crash await?

The BTC price came within inches of a new all-time high today before a swift 5% flash crash wiped out the gains.

With momentum building and market sentiment positive, the main question is: When will Bitcoin finally break through, and what’s the ideal entry before it does?

Bitcoin Struggles at Highs

The Bitcoin price ascended alongside a steep ascending support trend line since its April 7 lows.

Retracements during this upward movement have been minor and triggered notable bounces.

Earlier today, Bitcoin’s price reached a high of $107,108, only 3% below the all-time high of $109,588.

However, the BTC price was rejected by the $106,000 resistance area and is creating a bearish candlestick.

Since Bitcoin trades at the ascending support trend line, a breakdown below it could trigger a flash crash to the $96,000 support.

Technical indicators show weakness. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) have generated bearish divergences.

Such divergences often occur at the top and indicate a corrective movement ahead.

So, the BTC price has likely started its correction after such a lengthy increase.

Let’s look at a lower time frame and see where it can find support.

New Bitcoin All-Time High?

The wave count analysis suggests Bitcoin’s five-wave increase (green) ended on May 10.

If so, the BTC price movement since then is an A-B-C correction (red) of an expanded or running flat variation.

Bitcoin might have already finished its correction if it is a running flat variation, since waves A and C have the same length.

Alternatively, if Bitcoin completes an expanded flat correction, the price might fall to $99,400, reaching the 0.236 Fibonacci retracement support level.

This will also give waves A and C a 1:1.61 ratio, providing more confluence to the target.

Nevertheless, since the upward movement is impulsive, a new all-time high is likely after the correction.

The A-B-C correction will likely be similar because retracements during the increase have been shallow in waves two and four.

As a result, the expanded and running flat variations are the most likely, with BTC not expected to fall below the $99,300 support.

Final Dip Before New Highs?

The Bitcoin price has shown impressive strength by rallying over 40% since April 7.

Bitcoin’s upward movement is impulsive, indicating that the long-term trend is still bullish.

If this is the case, BTC is completing its final correction before a new all-time high.

The $99,300 area is likely to provide support.