Hi traders!
We can see that Bitcoin begins to play out Wyckoff's accumulation schematic number 2 on the 4h timeframe. This is promising for bulls, however we need to be patient as price chops around.
What is happening?
BTC formed a H&S pattern and then declined in a falling wedge. We can easily identify a target by measuring both the H&S and the wedge.
Where do we go from here?
We get confluence for a long in the area that I have marked with a green box. This is also the potential end of wave 5 which started at 40900. Yes, wave 1 retraced 88%, which is rare but the Elliott rules specifically allow for such a retrace, so that we can identify the current wave as a 1-5 motive wave.
38200-ish can be a potential target, since a regular ABC correction extends beyond wave 4.
What if not?
The idea is invalidated if price falls below the green box. In that case the current wave 5 may extend to 31143 to form a double bottom.
Happy trading.
We can see that Bitcoin begins to play out Wyckoff's accumulation schematic number 2 on the 4h timeframe. This is promising for bulls, however we need to be patient as price chops around.
What is happening?
BTC formed a H&S pattern and then declined in a falling wedge. We can easily identify a target by measuring both the H&S and the wedge.
Where do we go from here?
We get confluence for a long in the area that I have marked with a green box. This is also the potential end of wave 5 which started at 40900. Yes, wave 1 retraced 88%, which is rare but the Elliott rules specifically allow for such a retrace, so that we can identify the current wave as a 1-5 motive wave.
38200-ish can be a potential target, since a regular ABC correction extends beyond wave 4.
What if not?
The idea is invalidated if price falls below the green box. In that case the current wave 5 may extend to 31143 to form a double bottom.
Happy trading.
Trade closed: target reached
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.
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.