We've got lower high 8830 on 2. June and break of lower wedge border earlier today. Market is reversing slowly. I guess that first impulse 5 waves growth from Dec. 2018 is completed. Let's summarize it a bit.
Nice ending diagonal was formed in 2nd part of Nov and 1st part of Dec. This pattern told me that 1 year long bear market is about to change. And we saw powerful upwards swing in wave i (green cycle) on Christmas eve then.
2019 started with 3 months long accumulation phase during wave ii and early stage of wave iii. Smart money bought their positions there.
And bears were fooled on 1. April when coin rocketed 20% in one day and broke major bear trend resistance. Power of 3rd Elliott wave was presented in first weeks of April and May. Many participants joined the rally, but some speculators continued to short it, helping BTC growth with forced stop losses on short covering. 3rd wave came out with extension. It lasted more then 3 months and produced biggest part of the whole growth cycle price progress.
Final wave v (green cycle) took wedge form. It's classical distribution pattern. Smart money are closing their long positions and less sophisticated traders are buying in fear to miss the rally. Let's stay on the right side of the market...
So we are on early stages of downward abc (green cycle) correction now. In regard of subdivisions it may took 3-3-5 or 5-3-5 form. Probable Fibonacci targets (support levels) are 6850, 6150 and 5450.
Nice ending diagonal was formed in 2nd part of Nov and 1st part of Dec. This pattern told me that 1 year long bear market is about to change. And we saw powerful upwards swing in wave i (green cycle) on Christmas eve then.
2019 started with 3 months long accumulation phase during wave ii and early stage of wave iii. Smart money bought their positions there.
And bears were fooled on 1. April when coin rocketed 20% in one day and broke major bear trend resistance. Power of 3rd Elliott wave was presented in first weeks of April and May. Many participants joined the rally, but some speculators continued to short it, helping BTC growth with forced stop losses on short covering. 3rd wave came out with extension. It lasted more then 3 months and produced biggest part of the whole growth cycle price progress.
Final wave v (green cycle) took wedge form. It's classical distribution pattern. Smart money are closing their long positions and less sophisticated traders are buying in fear to miss the rally. Let's stay on the right side of the market...
So we are on early stages of downward abc (green cycle) correction now. In regard of subdivisions it may took 3-3-5 or 5-3-5 form. Probable Fibonacci targets (support levels) are 6850, 6150 and 5450.