Bitcoin (BTC/USDT) Elliott Wave Short Setup

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Bitcoin has completed a strong impulsive leg, with the third wave pushing sharply higher on strong volume. After this extension, the market is now showing early signs of exhaustion.

📈 Wave Count

Wave (3) peaked with a strong vertical move.

Price is now likely transitioning into wave (4), a corrective phase.

If confirmed, a retracement toward lower support zones is expected.

🔻 Key Levels to Watch

First correction target: 111,200 – 110,800 zone (supply turned support).

Deeper correction target: around 109,800.

These levels align with prior consolidation and Fibonacci retracements.

💡 Short Setup

Traders can consider short entries if bearish confirmation appears.

Watch for signals such as:

Rejection wicks at the highs

Engulfing bearish candles

Momentum breakdown on lower timeframes

Stop-loss: above recent peak (~112,200).

Profit targets: 111,200 first, then 109,800 if pressure extends.

⚡ Alternative Scenario
If buyers regain momentum, BTC could push for a final wave (5) extension before any larger correction. However, probability currently favors a pullback.

✅ Conclusion
BTC/USDT is entering a potential corrective stage after completing its third impulsive wave.
The 111,200 – 110,800 zone is the first area to test, while 109,800 stands as a deeper downside target.

Short setups are valid with confirmation, but strict risk management is essential. 📊
Trade closed: target reached

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