On December 15th Bitcoin started its first corrective wave up, ending the first motive wave at 4300$. Since December 24th we are witnessing the correction of the correction in a swift ABC move, which seems to halt at the fib ratio of .618. In the short term bullish scenario we might witness another impulse wave up (C), which will turn out to be less strong and messier in its correction patterns than the first impulse wave (A). If we see confirmation of the .golden ratio support level at the current price, we'd be entering this bullish scenario. There is already divergence in place between price action and money flow.
An optimistic target for C could be indicated by a measured move in the vicinity of 5000$ before we can expect another retest of the 3000$ area.
If however, bulls fail to take over control, we might see a lower high in the Area of 4000$ with a strong move down to 3000$ retesting the current support of bitcoin.
An optimistic target for C could be indicated by a measured move in the vicinity of 5000$ before we can expect another retest of the 3000$ area.
If however, bulls fail to take over control, we might see a lower high in the Area of 4000$ with a strong move down to 3000$ retesting the current support of bitcoin.
Comment:
The bullish scenario is supported by the 1D chart, where BTC is currently supported by the 20 Day MA. If Bitcoin can hold the price, it might just be the support it needs to begin that last impulse wave up.