Emily Walker
A cryptocurrency analyst recently shared a bold prediction on X (formerly Twitter), estimating a new optimistic price target for Bitcoin in the first quarter of 2025. By applying Elliott Wave theory, the analyst anticipates a drop to $91,000 as the 4th Wave concludes, followed by a surge to $210,000 in the 5th Wave of this market cycle.
Wave 5 Expected to Boost Bitcoin to $210,000
On January 10, an analyst known as “Capt. Parabolic Toblerone” forecasted that Bitcoin’s price will reach $210,000 by Valentine’s Day 2025. The analyst presented a Bitcoin price chart from Q4 2024, offering a technical analysis informed by the Elliott Wave Theory.
The chart presented identifies the first four waves in the Elliott Wave cycle, suggesting Bitcoin is nearing the conclusion of a corrective Wave 4. This theory is utilized to forecast market trends based on price behaviors.
Elliott Waves are categorized from 1 to 5, indicating different market phases. Wave 1 signifies the commencement of a trend, while Wave 2 shows a retreat from its rise. The third wave typically portrays the most significant price increases, leading to new highs. In contrast, Wave 4 indicates a price correction and stabilization, with Wave 5 marking a possible bullish turnaround and completion of the sequence.
For Bitcoin, the analyst anticipates that Wave 4 may conclude with a drop to $91,000. Following that, Wave 5 is projected to initiate a significant upward movement, referred to as a “blow-off top.”
The analyst’s expectations suggest that Wave 5 could elevate Bitcoin’s price to around $210,000 before February 14, aligning with the top Fibonacci extension level of 6.618. This target is marked as the peak of the cycle, indicating that $210,000 might be the pinnacle for Bitcoin during this four-year period.
Currently priced at $94,306, Bitcoin is illustrated with various Fibonacci retracement and extension levels on the chart, highlighting key resistance and support zones.
Significant Correction Anticipated After Peak
While predicting a Bitcoin peak at $210,000, Capt. Parabolic Toblerone’s analysis also reveals a potential A-B-C corrective phase following this blow-off top. There is a possibility that Bitcoin may experience a notable downturn, potentially falling below $100,000. Such a decline would imply over a 50% drop from the anticipated peak.
This projected downturn aligns with historical trends observed in bull markets, which often see rapid surges to new all-time highs before sharp corrections occur. For Bitcoin, this slump is likely to mark the onset of its expected bear market. In light of this potential drop, the analyst urges caution for Bitcoin and altcoin investors, recommending that traders “exit all altcoins” prior to reaching the projected top.
Featured image from Fortune, chart from TradingView