Bitcoin Completes an Impulsive CycleBitcoin / U.S. dollarBITSTAMP:BTCUSDMathew_TraderGoldHello traders! Here’s a clear technical breakdown of BTCUSD (1H) based on the current chart structure. Bitcoin has completed a full impulsive Elliott Wave sequence (1–5), with wave (5) marking the local top and momentum exhaustion point. The advance into wave (5) was strong, but notably lacked continuation follow-through afterward, which is a classic early warning of a trend transition. Following the completion of wave (5), price has shifted into a corrective market phase, forming an ABC structure. The price action is now characterized by overlapping candles, lower highs, and weaker rebounds, confirming that bullish momentum has faded and the market is no longer in impulse mode. This transition signals a cycle shift from expansion to correction, not just a random pullback. SUPPLY & DEMAND – KEY ZONES Major Distribution / Wave (5) Supply Zone: The region around the wave (5) high represents distribution at premium, where smart money typically exits long exposure. The sharp rejection from this zone confirms strong seller presence. Corrective Structure Levels (ABC): Wave (A): Initial impulsive sell-off, breaking bullish momentum Wave (B): Weak corrective bounce, failing to reclaim prior highs Wave (C): Ongoing decline, currently developing with expanding downside risk Macro Support / Cycle Low: The 90,000–90,300 zone stands out as a critical higher-timeframe support, aligned with the base of the prior accumulation range and the projected completion zone of wave (C). 🎯 CURRENT MARKET POSITION Currently, BTC is trading inside the corrective phase, with price action suggesting wave (C) is still unfolding. The inability to reclaim prior structure highs confirms that bounces are corrective, not impulsive. Momentum structure now favors continuation lower, unless the market invalidates the corrective count by reclaiming key resistance levels with strength. 🧠 MY SCENARIO As long as Bitcoin remains below the wave (B) high and fails to re-enter the impulsive structure, the probability favors continued downside toward the 90,000 support zone, where wave (C) may complete. That area is critical: - A strong reaction there could mark cycle reset and re-accumulation - A clean breakdown would signal deeper corrective extension and broader trend weakness Only a decisive reclaim above the corrective highs would invalidate the ABC scenario and reopen the path for bullish continuation. For now, Bitcoin is in correction after impulse, not in trend continuation. ⚠️ RISK NOTE Corrective phases are volatile and deceptive. Trade reactions, not predictions, respect key invalidation levels, and always manage your risk.