Let's not kid ourselves, price analysis and historical trends show that bitcoin has the potential for one final run in this bull market. This run can bring us to 6 digits, however, I will be presenting a bearish side that might play out:
From an Elliott wave perspective, we bottomed out at ~30000, a five-wave move down from 65k. Now, it's possible that the current run we are experiencing is a wave B (corrective structure) of a zig-zag.
Some things to know about a zig-zag pattern:
"Zigzag is a corrective 3 waves structure labeled as ABC
• Subdivision of waves A and C is 5 waves, either impulse or diagonal
• Zigzag is a 5-3-5 structure"
Wave B will be labeled by the public as a "bull trap". The target region of wave B is 48-50K.
If this scenario is in the play, it means that we still have one more wave down, in 5, wave C. This corrective wave can in fact take up the rest of the year, with a target of 20k. The catalyst for such a wave is currently unknown, however, it will include FUD for sure.
The point of this idea is to be cautious if you aren't in any position now. The indicators are already in overbought territory, but knowing crypto, crazy things can happen.
Stay safe and good luck!
From an Elliott wave perspective, we bottomed out at ~30000, a five-wave move down from 65k. Now, it's possible that the current run we are experiencing is a wave B (corrective structure) of a zig-zag.
Some things to know about a zig-zag pattern:
"Zigzag is a corrective 3 waves structure labeled as ABC
• Subdivision of waves A and C is 5 waves, either impulse or diagonal
• Zigzag is a 5-3-5 structure"
Wave B will be labeled by the public as a "bull trap". The target region of wave B is 48-50K.
If this scenario is in the play, it means that we still have one more wave down, in 5, wave C. This corrective wave can in fact take up the rest of the year, with a target of 20k. The catalyst for such a wave is currently unknown, however, it will include FUD for sure.
The point of this idea is to be cautious if you aren't in any position now. The indicators are already in overbought territory, but knowing crypto, crazy things can happen.
Stay safe and good luck!
