Bitcoin’s latest surge towards $91K has merchants buzzing with excitment and a few are already anticipating the beginning of subsequent bullish leg, however the charts inform a special story. ProShares Bitcoin ETF (BITO) is flashing indicators of weak spot, with a possible retracement towards the $10.10 zone. In Elliott Wave phrases, this implies BTCUSD should still be consolidating in a corrective section relatively than gearing up for the subsequent impulsive leg larger. Understanding these indicators is vital for merchants who wish to keep away from chasing momentum on the flawed time.
📉 BITO Bearish Sequence Factors Towards $10.10
The ProShares Bitcoin ETF (BITO) accomplished its cycle from the November 2022 low again in March 2024. Since peaking in March 2024, the ETF has been trending decrease, carving out what seems to be an incomplete bearish sequence in opposition to the December 2024 and Might 2025 highs. This construction means that short-term bounces are prone to fail, reinforcing the case for additional draw back. The important thing degree to look at is $10.10, which represents the 100% Fibonacci extension of the primary leg down from the March 2024 peak, projected decrease from the December 2024 peak. In Elliott Wave phrases, this aligns with a corrective sequence that has but to totally play out. Merchants ought to be cautious about chasing rallies right here, because the broader cycle bias favors continuation decrease earlier than any sustainable reversal can take form.
BITO’s Chart Suggests Bitcoin Correction Not Over But
This chart highlights how intently Bitcoin ($BTCUSD) tracked BITO (ProShares Bitcoin ETF) from the November 2022 low to the March 2024 excessive. Whereas the 2 belongings seem to diverge after March 2024, a better inspection reveals that Bitcoin continued to comply with BITO’s directional path, albeit with a special magnitude of swings. This divergence in amplitude allowed Bitcoin to increase its rally all the best way to the October 2025 excessive, whilst BITO started its corrective section. The latest decline in Bitcoin means that it has now accomplished its cycle from the November 2022 low, and is getting into a broader corrective section. Importantly, this correction is anticipated to persist till BITO reaches its excessive space close to $10.10—a degree derived from the 100% Fibonacci extension of the primary leg down from the March 2024 peak, projected from the December 2024 peak.
Bitcoin Bulls, Maintain Your Horses—BITO’s Chart Has Different Plans
📉 Solana’s Correction in Focus
SOLANA’s weekly chart exhibits the cryptocurrency continues to be unwinding the cycle that started in December 2022. So far as value stays beneath September 2025 peak, all indicators are pointing towards additional weak spot with rallies prone to stay short-lived. The subsequent excessive space lies beween $52.69–$7.79 , the place consumers are anticipated to step again in. This draw back goal ought to align with BITO reaching its $10.10 excessive space, suggesting that main crypto devices might backside collectively earlier than beginning a brand new bullish section.
The charts and path is obvious: BITO, Bitcoin, and Solana are all signaling that the crypto market continues to be in a corrective section, with excessive areas but to be examined. For merchants, this isn’t the time to chase rallies however to organize for the alternatives that can emerge as soon as these ranges are reached. Staying affected person now could make all of the distinction when the subsequent impulsive cycle begins.
Supply: https://elliottwave-forecast.com/cryptos/bito-etf-warning-about-bitcoin-rally/