Hi Traders,
The structure of Bitcoin's decline from the ~$64950 high has been taking the shape of the classic Elliott Wave five-wave impulse pattern.
Wave (iii) is very extended and its five sub-waves are really visible. The corrections are also following the guideline of alternation, wave (ii) is a sharp zigzag correction, and wave (iv) unfolded as a sideways triangle pattern.
According to the theory, once a correction is completed the price will resume in the direction of the impulse. Just like wave (ii) alternate wave (i) before wave (iii) sell-off, price is expected to resume wave (v) decline as the wave (iv) correction is completed.
The decline in wave (v) can be as large as that of wave (i), if this count is correct, a decline below wave (iii) low of ~$30028 is very plausible in the weeks ahead.
The confirmation level and invalidation level for this setup are highlighted on the chart.
Do you think Bitcoin will suffer another notable decline? Let me know in the comment.
Thanks for reading!
The structure of Bitcoin's decline from the ~$64950 high has been taking the shape of the classic Elliott Wave five-wave impulse pattern.
Wave (iii) is very extended and its five sub-waves are really visible. The corrections are also following the guideline of alternation, wave (ii) is a sharp zigzag correction, and wave (iv) unfolded as a sideways triangle pattern.
According to the theory, once a correction is completed the price will resume in the direction of the impulse. Just like wave (ii) alternate wave (i) before wave (iii) sell-off, price is expected to resume wave (v) decline as the wave (iv) correction is completed.
The decline in wave (v) can be as large as that of wave (i), if this count is correct, a decline below wave (iii) low of ~$30028 is very plausible in the weeks ahead.
The confirmation level and invalidation level for this setup are highlighted on the chart.
Do you think Bitcoin will suffer another notable decline? Let me know in the comment.
Thanks for reading!