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Recently, the price of Bitcoin has once again broken through historical highs, reaching a new height of $122,500. From the perspective of wave theory, the current upward trend does not seem to be over yet. Analysis shows that the market is currently in the rising phase of the 5-5 waves, which consists of three sub-waves: a, b, and c. We are currently experiencing the upward process of wave c, and this wave c may still have the 5th sub-wave yet to be completed.
However, despite the strong performance of Bitcoin in the short term, the expectation of a downward trend in the medium to long term still exists. Market analysts predict that there may be two main downward target levels in the future. The first target level is around $95,000, while the second, lower target level may drop to above $70,000.
This complex market dynamic reminds investors to stay vigilant and closely monitor market changes. While there may still be room for a pump in the short term, long-term investors should take into account the potential risk of a pullback. In such a volatile market environment, a reasonable risk management strategy is particularly important.
As Bitcoin continues to challenge new price highs, market participants are closely watching the future direction of this digital asset. Both technical analysis and fundamental factors will play an important role in shaping the future price trends of Bitcoin.