20k BTC?? - Clean 5 wave move in progress
Looking at the 2D chart (its a little more robust than the weekly) BTCUSD is making an exceptionally clean 5 wave move towards the downside. Im amazed at how precisely wave 3 and wave 4 hit the 1.618 and 38.2 targets. This is algo trading, no doubt about it.
The RSI has also followed a nice little downtrend since it peaked on Feb 20th at 58K. It hit the same DTL on April 13 when it set the ATH of 64k, then May 7 with the wave 2 high of 59K and again on June 14th with the wave 4 high of 40k. Now we're approaching it again, and we will face both RSI resistance and price resistance with the DTL from the wave 4 high right near 34k.
This should hopefully be the last leg down, putting crypto traders in total despair mode. But for the smart trader, this is the best opportunity to buy BTC since 2020! We'll be approaching the -0.382 target of wave 5, right about the 2017 ATH. In my opinion that's the place to buy. There a low probability that we drop below that 2017 high and approach the 200 weekly MA around 13.5k...this puts us within the extreme edge of the wave 5 target, between the -0.5 and -0.618 extension of the wave 4 high. If my some miracle we get below the 2017 peak, this is where i would sell everything else and buy as much BTC as i could with my savings. These prices will never come again in my opinion, not before we see 100k.
FYI, the MA's shown on the chart are weekly moving averages even though the chart is 2D. the yellow is the 55 weekly EMA and the purple is the 200 weekly MA
The RSI has also followed a nice little downtrend since it peaked on Feb 20th at 58K. It hit the same DTL on April 13 when it set the ATH of 64k, then May 7 with the wave 2 high of 59K and again on June 14th with the wave 4 high of 40k. Now we're approaching it again, and we will face both RSI resistance and price resistance with the DTL from the wave 4 high right near 34k.
This should hopefully be the last leg down, putting crypto traders in total despair mode. But for the smart trader, this is the best opportunity to buy BTC since 2020! We'll be approaching the -0.382 target of wave 5, right about the 2017 ATH. In my opinion that's the place to buy. There a low probability that we drop below that 2017 high and approach the 200 weekly MA around 13.5k...this puts us within the extreme edge of the wave 5 target, between the -0.5 and -0.618 extension of the wave 4 high. If my some miracle we get below the 2017 peak, this is where i would sell everything else and buy as much BTC as i could with my savings. These prices will never come again in my opinion, not before we see 100k.
FYI, the MA's shown on the chart are weekly moving averages even though the chart is 2D. the yellow is the 55 weekly EMA and the purple is the 200 weekly MA
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.