Bitcoin bearish EW count to watch out for before jumping all in
The price rise since mid-September certainly looks bullish with an impulsive 5 wave structure. Volume rose and MACD, RSI & Stoch all trended upwards, even into overbought on a daily chart. I see potential for this to be a blow out from a large wave (B) expanding triangle considering it took a parabolic structure in a short amount of time. The big wicks on the daily candles are suggestive of a corrective turn. (If price continues to fall from this week's high, we could see a shooting star on the weekly candle.)
Re-evaluating the wave structure the January 14, 2015 low could mark just the first major down leg from the bubble burst nearly two years ago. The sideways correction from the 152.40 low could be a corrective wave ((B)) with 3 wave zigzag (A), expanding triangle (B), and then an impulsive 5 wave (C).
It's difficult to remain patient when prices rise like this which creates lots of excitement and generates attention. I believe this is an important time to remain disciplined and plan your entries on pull backs. The best buying opportunity may still be coming...
Re-evaluating the wave structure the January 14, 2015 low could mark just the first major down leg from the bubble burst nearly two years ago. The sideways correction from the 152.40 low could be a corrective wave ((B)) with 3 wave zigzag (A), expanding triangle (B), and then an impulsive 5 wave (C).
It's difficult to remain patient when prices rise like this which creates lots of excitement and generates attention. I believe this is an important time to remain disciplined and plan your entries on pull backs. The best buying opportunity may still be coming...
