After we could expect a new upmove in what seems to be supporting our bullish scenario in an ABC Correction, the first impulse wave hit me with somewhat of a surprise in its dynamic and strength. While I was still considering a phase of consolidation or even a last effort of bears to push BTC to the 0.618 level of A, bulls started to enter the market 'en force' and managed to push price up to 4000$.
We can thus expect an ongoing thrust to the upside with only little room for correction between Wave (1) and (3) of C. If bulls remain powerful we could expect an extended third wave with an ending diagonal as the fifth in the vicinity of 5000$.
Comment:
1) The correction was stronger than anticipated and thus it seems as if not 0.382 but 0.618 forms the actual support cluster at the beginning of the next wave to the upside.
2) My current analysis is that the sharp move up was due to the ending of major future contracts. The retracement was then caused by an increased supply zone in the range of the golden ratio of the last Impulse Wave up.
3) In the process of forming a first leg up, we are currently witnessing several Stop-Hunts causing havoc among retail and amateur traders.
Learn from these developments: Don't enter trades early.
Current analysis remains bullish.