BTC looking for 52k-53k, possibly higher... $61.4k???
I believe our local correction is done.
We are looking for an impulse up and for the futures market to cover gaps. There are two different scenarios to consider:
Scenario 1 (YELLOW IMPULSE WAVE SETUP): We do not go higher than 53k, make a lower high and never breach wave 2. This is overall MORE bullish for BTC than if we make a higher high here. The reason is that if we make a higher high here than the bottom of wave 1, we are going to be trying to make a wave 2 of a higher degree, which means wave 3 is going to be much deeper (unless we are setting up a diagonal where all the impulses interlace - not saying this can't happen, but it will def wash out in the end either way). If we do not break that low of wave 1, we should see a correction to about 39k on the end of wave 5 and BTC moves higher, likely making a new ATH.
Scenario 2 (ORANGE AND PURPLE IMPULSE SETUPS): We break higher than wave 1 (above 53k). Wave 2 to a higher degree can be anywhere from 50% of wave 1 all the way to 85.4%... Which means a price range between $53.6k to $64k. The chart assumes around $61.3k, the reason I believe that this is a more likely range is simply due to the fact it takes care of covering almost all of the futures gaps left on shorter timeframes. The other reason I favor it is because it screws everyone over... And that's generally BTC's style. It will confuse everyone trading the obvious ascending channel that will form, liquidate all the high leverage shorts, make people go into long positions because we cleared over a trend line, then pummel them...
You will also notice with scenario 2 that it will also keep the relative wave structure of the purple impulse and we can clearly see where it will theoretically end.
Currently more in favor of Scenario 2 than 1...
We are looking for an impulse up and for the futures market to cover gaps. There are two different scenarios to consider:
Scenario 1 (YELLOW IMPULSE WAVE SETUP): We do not go higher than 53k, make a lower high and never breach wave 2. This is overall MORE bullish for BTC than if we make a higher high here. The reason is that if we make a higher high here than the bottom of wave 1, we are going to be trying to make a wave 2 of a higher degree, which means wave 3 is going to be much deeper (unless we are setting up a diagonal where all the impulses interlace - not saying this can't happen, but it will def wash out in the end either way). If we do not break that low of wave 1, we should see a correction to about 39k on the end of wave 5 and BTC moves higher, likely making a new ATH.
Scenario 2 (ORANGE AND PURPLE IMPULSE SETUPS): We break higher than wave 1 (above 53k). Wave 2 to a higher degree can be anywhere from 50% of wave 1 all the way to 85.4%... Which means a price range between $53.6k to $64k. The chart assumes around $61.3k, the reason I believe that this is a more likely range is simply due to the fact it takes care of covering almost all of the futures gaps left on shorter timeframes. The other reason I favor it is because it screws everyone over... And that's generally BTC's style. It will confuse everyone trading the obvious ascending channel that will form, liquidate all the high leverage shorts, make people go into long positions because we cleared over a trend line, then pummel them...
You will also notice with scenario 2 that it will also keep the relative wave structure of the purple impulse and we can clearly see where it will theoretically end.
Currently more in favor of Scenario 2 than 1...
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Looking at something like this on the short term. Leading diagonal on wave 1 is starting to take shape.
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