RegideTrader

Bitcoin could be at the end of the correction cycle

Long
BINANCE:BTCUSDT   Bitcoin / TetherUS
The current correction looks very similar to an Expanded Flat Correction originating from Elliot Waves theory. A marginal higher high (69k) followed by a leg down that breaks the previous low (30K). EW theory expects the last wave in the Expanded Flat Correction to be a motive wave (5 waves) structure. Completion is typically at the 100% and 123.6% extension of wave A projected from the end of wave B.

The 100% target lies at 33k which caused the initial bounce to 48k , but lacked follow-through and ended up with a bear flag-like structure.

The bear flag broke down and is now heading towards the 123.6% extension. Price bounced just before it. This could be a very bullish signal, but I think this is just the 4th wave bounce. This 4th wave has room to go up to around 33k . After that, I expect to see one last wave (5 of 5) that will barely make a new low and touch the 123.6% target at 25.0275. In very bullish cases, it could fail to make a new low.

Conclusion: according to this perspective buying between 25k to 30k looks like a great entry for the next wave up

Happy trading!

Sources:
1. Expanded Flat Correction (EW). https://elliottwave-forecast.com/elliott...

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.