Bitcoin (BTC/GBP) — Correction Before the Next Leg Higher
Published: 11th September 2026
The Setup
Bitcoin against the pound is in the middle of a corrective phase, and the structure suggests a buying opportunity may be setting up on the next dip. The 8-hour chart shows a completed five-wave impulse into the wave 1 high, with price now working through a corrective wave 2 pullback before what could be the next leg higher.
The Technical Case
The impulse structure is clear on the 8H timeframe. Waves i through v completed the initial advance from the June lows, with the earlier w-x-y-z corrective sequence resolving before the strong impulsive move higher through August. Price has now labelled the wave 1 peak and appears to be tracing an a-b-c correction lower into wave 2.
The anticipated path is a dip toward the 56,000 to 54,000 zone, where the correction could complete and the next impulsive leg potentially begins. Price is currently sitting on the 50-day EMA at 57,310, with the 20-day EMA at 57,882 just above. A move into the highlighted demand zone would offer a cleaner entry than chasing at current levels.
Trade Parameters
Entry zone: 56,000 to 54,000 on the anticipated wave 2 completion
Invalidation: 43,500. A move below this level invalidates the bullish count
Wave 3 target: £83,000, with a stretch target of £90,000
The Thinking
The correction needs to play out first. Chasing price here, mid-correction, carries poor risk-reward. The disciplined approach is to wait for the dip into the demand zone and look for confirmation that wave 2 is complete before committing. If the structure holds, the wave 3 target offers substantial upside. Correction first, then it potentially runs.
Risk to the Trade
As with any Elliott Wave count, the structure is a roadmap, not a certainty. A break below 43,500 invalidates the thesis entirely. Broader crypto sentiment, dollar strength and macro risk appetite all remain factors that could disrupt the anticipated path. Position sizing and the hard invalidation level are the risk management tools here.
This is not financial advice. All trades carry risk. Always conduct your own analysis and manage position sizing appropriately.
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