2nd Scenario is the most likely happening right now.
As we can see currently in the market, there ain't no huge volume supporting the bulls at this moment, we may see another lower-low in the next few days, bois.
My 2 cents on the market right now.
1st Scenario - will be a nested 1-2's have been created making a further move to the upside.
2nd Scenario - will be the one where it creates another lower-low for a bullish divergence in the daily timeframe to be created.