As most indicators indicated, BTC has started retracing the recent bull run.
Bears seem to have taken a pause upon reaching 0.382 level, which coincides nicely with a resistance.
If bears confirm this pause, we can expect a retest of previous green support as a new resistance, which coincides very nicely with 0.236 fib level. The red zone would be a nice price action to enter a short position upon confirmation of a local top, targeting the green zone with a safe TP1 at 0.5 level, and a riding winner looking down to a potential golden 0.618 retracement.
Before this short trade, day traders may try to scalp the B wave with a small long going against the bearish trend of the moment. For those who can afford to stay in front of their screen in this christmas period ;-)
After such a textbook move, who knows ? Retest the 3k zone for a double bottom ? Shoot up to the 5k zone in a healthier fashion after this consolidation ?
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We have been channeling down to 0.5 fib area today, and just broke the channel to the upside. As mentioned previously, day traders can open a careful long position for what should be a wave B.
It is also to time to observe carefully this move up, and be ready to open a short position upon confirmation of a continuation downwards for a wave C. The 4100 area would be a perfect sell zone, but we might not get there before moving down again...
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After 48h of sideways volatily, we could still be waiting for a true wave B, but we could also argue that wave C has already started.
At this point, my Elliott count favors an incoming down trend after the tiny retracement upwards which occured up to 4k.
Careful traders are probably waiting for a clear entry. My only clear call now would be a 3650 long entry if most indicators align upwards, signaling the end of wave C and a new bullish impulse on mid term.
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Retrospectively : the golden pocket was finally reached for a long entry, but sideways action remains unclear, and in the first hours of 2019 we are waiting for a clear direction ! Happy new year !