BTC Update - Wave 5? 🤔

Update on my previous BTC Descending Triangle idea, price broke above the proposed entry level and ran up as expected. Price currently trades nearly 5.5% above that entry level, down from the high noted as Wave 3 on this chart, more than 7% above the entry.

If looking at Elliot Waves, Wave 3 high met almost perfectly previous pivot high from December 7th. Price retraced perfectly back to the 0.382 Fib level on Wave 4 before beginning the 5th Elliot Wave up.

It looks highly likely that we're going to enter back into the Supply Zone, and we have a nice big round number of 52k sat at the top of this Supply Zone, with the previous 2 highs falling just short of breaking this number.

If we manage to break the 52k mark it could be smooth sailing up to the next key level to complete the 5th Wave.

Alternatively, a rejection from the Supply Zone could see us headed back down in the region of that 0.382 Fib level that coincides with recent resistance.

Overall bias remains long, keeping a close eye on price action around the Supply Zone with the potential to run up if we break 52k.


Comment your thoughts or questions below! ✔

This is not financial advice. Do your own research and be treat your capital responsibly.

Comment:

Bulls managed to push price through the supply zone to the 52k mark - these round numbers often work like magnets - before kicking price back with strong selling around the supply zone for a sharp drop.