Bitcoin Tests $97,000 Support After 6.45% Gain

Bitcoin is currently experiencing a two-wave correction pattern, with the first wave having completed its retracement from $105,000 and the second wave forming. This pattern suggests that Bitcoin may test the $97,000 support level before initiating a new bullish wave. The $97,000 level is significant as it aligns with the 1.272 Fibonacci extension area, which could act as a strong support zone.

If Bitcoin breaks below $97,000, it could potentially trigger a quick recovery to meet the projected $116,000 target in early July. This projection is based on the current market structure and the two-wave correction pattern observed on the 4-hour chart. The pattern shows a completed correction wave “1” and a forming wave “2” that could push BTC deeper before any strong upside.

Price action earlier in June showed a sharp move upward from around $94,000 to $105,000, followed by a pullback and a brief consolidation. The rally gained 6.45%, equivalent to a $6,470 gain, before reversing. Now, Bitcoin is testing previous support zones, with the price already dipping below $101,000. This indicates short-term bearish pressure, but the overall market structure suggests a likely move toward the $97,000 support area before a rebound.

The visual structure reflects a clear two-leg correction scenario. Wave “1” marked the first major retracement from $105,000, and current action suggests wave “2” is forming. This would ideally end near the 1.272 Fibonacci extension around the $97,000 level. This structure appears within a larger consolidation phase, where price reacts to defined support and resistance blocks. The projected trajectory then shifts to the upside, targeting zones above $110,000 and up to $116,000. This projection aligns with earlier bullish structures observed before the mid-June drop.

Chart data indicates repeated rejections near $105,000 and failed follow-through above key highs, which contributes to the current bearish tilt. However, the retracement may set the foundation for a new upward cycle. Price has now entered a key liquidity area below $101,000, with support next expected around $97,500 to $96,000. This zone could trigger a bounce if buyers regain control near the Fibonacci target.

Despite the pullback, volume remains moderate, suggesting that a flush below support might draw interest. If price wicks into the 1.272 extension and holds, traders may enter early longs on confirmation of structure. The chart projects a sharp rise from this base, with a steep incline toward $108,000 and later to $116,000. This potential rally may unfold rapidly if the price reacts well at wave “2” and breaks above previous lower highs.

The long-term projection indicates that a bullish reversal from the $97,000 region could reclaim lost momentum. The charted arrow path shows a rise to $108,000 as the first key target, then continues toward $116,000. For this scenario to play out, Bitcoin must recover above $102,000 and break resistance around $105,000. These levels mark critical areas where previous sellers gained control.

The bullish outlook depends on whether BTC can maintain structural integrity after completing its two-wave correction. Once confirmed, momentum could accelerate, pulling the asset toward the higher $110,000 range. A breakout above $105,000 may confirm strength and push Bitcoin back above $110,000 to resume its upward trend. This would align with the projected $116,000 target, which remains active based on the current market structure and technical setup.