Updated EW count for Bitcoin : WXY correction pattern?
Bitcoin is having a huge push toward the upside in small time frame where it has entering the $11000 area lately even we have seen some rejection as of now because it's an effect from the touched of the round number of $11000. For me, it's a normal correction if we see it from perspective in lower time frame. Currently the price is still trending inside of the contracting triangle which is holding well during this consolidation pattern as well.
Beside of the above explanation, I'm trying to identify on what waves right now will it be. From the perspective of the Elliot Wave, I think that current structure is the structure of correction as the effect of previous 5 waves up that has occurred since the bottome of this year on April 2020. Maybe we can see that the price has already formed an ABC structure which usually indicates the correction is over. But, we have to remember about the momentum of current market and the behavior of how the price has its bounce in lower time frame. I don't think that at current structure, it will be enough momentum to gain more wave to the upside to conclude that current correction wave has finished.
At current structure, if we assume the previous 5 wave structure between March until August 2020 as the first wave on higher structure, at current phase it will absolutely become the second wave of higher degree. And if you assume a 'going concern' principle which means the price will has a huge upside momentum in longer term/cycle, the 2nd wave won't be a simple zig zag correction. It will become more complicated and a lot of fake out movement occurs at this rate. That's why I'll assume current upside moves as the relief rally as the X structure in this degree. We may see a spike of this X toward the $12000 or the $12500 but it will ends up on the .382 fibonacci level as the point of interest in the next moves.
Beside of the above explanation, I'm trying to identify on what waves right now will it be. From the perspective of the Elliot Wave, I think that current structure is the structure of correction as the effect of previous 5 waves up that has occurred since the bottome of this year on April 2020. Maybe we can see that the price has already formed an ABC structure which usually indicates the correction is over. But, we have to remember about the momentum of current market and the behavior of how the price has its bounce in lower time frame. I don't think that at current structure, it will be enough momentum to gain more wave to the upside to conclude that current correction wave has finished.
At current structure, if we assume the previous 5 wave structure between March until August 2020 as the first wave on higher structure, at current phase it will absolutely become the second wave of higher degree. And if you assume a 'going concern' principle which means the price will has a huge upside momentum in longer term/cycle, the 2nd wave won't be a simple zig zag correction. It will become more complicated and a lot of fake out movement occurs at this rate. That's why I'll assume current upside moves as the relief rally as the X structure in this degree. We may see a spike of this X toward the $12000 or the $12500 but it will ends up on the .382 fibonacci level as the point of interest in the next moves.
