Elliott wave & Fibonacci analysis (attempt)
Updated
Hi all,
first and foremost: this is an ATTEMPT to look at BTCUSD using EW theory with Fibonacci levels (I am still learning).
At the moment we are retracing from the 3rd EW. According to the EW theory, such retracement typically reaches the 0.382 level of the previous wave, which will be around 7580 USD. Funny enough, this price level (7580 USD) corresponds with the lower bound of the previous big triangle (orange lines) and should provide strong support.
Thereafter, wave 5 starts and typically corresponds to the size of wave 1 (and to the 1.618 Fibonacci extension of the 4th wave), which should be around 9000 USD.
What do you think? Is this analysis reasonable?
* Note that I am using the Log-scale.
--- DISCLAIMER ---
This information is NOT a trading, investing, buy, or sell advice.
This information is a personal opinion and to be used for educational purposes only.
first and foremost: this is an ATTEMPT to look at BTCUSD using EW theory with Fibonacci levels (I am still learning).
At the moment we are retracing from the 3rd EW. According to the EW theory, such retracement typically reaches the 0.382 level of the previous wave, which will be around 7580 USD. Funny enough, this price level (7580 USD) corresponds with the lower bound of the previous big triangle (orange lines) and should provide strong support.
Thereafter, wave 5 starts and typically corresponds to the size of wave 1 (and to the 1.618 Fibonacci extension of the 4th wave), which should be around 9000 USD.
What do you think? Is this analysis reasonable?
* Note that I am using the Log-scale.
--- DISCLAIMER ---
This information is NOT a trading, investing, buy, or sell advice.
This information is a personal opinion and to be used for educational purposes only.
Note
UPDATE:The possibility of BTCUSD retraces to the 0.382 Fibonacci level is still in play and in my opinion one of the most reasonable possibilities.
BTC is currently moving at some little support but I do not think that support is strong enough. Furthermore, shorts have increased by over 14% as of now, which could point towards further selloff. Furthermore, the RSI has still some room to go lower. The next strong support is around 7500 USD and corresponds to a 0.382 Fib retracement of the 3rd Elliott wave. And like I mentioned above, the 4th Elliott wave commonly retraces to this Fib level.
Below you can find the updated chart:
tradingview.com/chart/enOBpJw7/
Disclaimer
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