Bitcoin's rally is inspiring, but a corrective dip looms nearby

The rally in BTC begins to breathe new life into crypto. The top at today's $45k does push the bounds that Bitcoin is still inside of a smaller triangle pattern. If indeed BTC is still grinding through a bullish barrier triangle, then a corrective dip will need to begin immediately that carries BTC back down to $41k. A print above $45,426 suggests the triangle is over and a larger wave is unfolding.

So, let's focus on this $45,426 level for now. I would give preference that a correction is beginning soon while holding below $45,426. This correction likely takes us to $41k and possibly $39k. A breakdown below $37,560 does eliminate some options with favor still tilted towards the bulls.

So, buyers could initiate some longs in the $39-41k zone.

If bitcoin does not correct and continues to rally above $45,426, then we would consider the end of a 'b' wave triangle at $37,560 and this rally is wave 'c' of a zigzag. Under this bullish zigzag scenario, bitcoin would carry up to $50,600 and possibly $58,600.