BTC Elliot Wave 3>4 Scenario

We just went through an possible extended wave 3 scenario where BTC breached the 4.236(wow). Possibly this can be a wave 5 as well and ABC correction is not out of the question. This chart is strictly based on the 3rd wave scenario, and if we another leg down past the original reverse point on the daily then this analysis is invalid. This chart guesses the reversal point on probability and i will update once confirmation is received by the market. Again this is based on Elliot wave Theory and specifically Wave 3 to Wave 4 correction.

Wave 4 = either .236% of Wave 3
or .382% of Wave 3
or .50% of Wave 3

The .236% and .382% are the most probably reversal points for Wave 4 completion. They are highlighted green on the chart with the .236 being 13.3k , 11.44k being the .382 and 0.5 being 9.7k

This also allows us to set a target. I chose a the extreme wave 5 target based on the extended wave 3 and massive bull run leading up to this point. Wave 5 ratio are as follows.
If Wave 3 is greater than 1.62 or extended, then Wave 5 either
= Wave 1
= 1.618 x Wave 1
= 2.618 x Wave 1

Reminder: always use capital management, and always wait for confirmation signals before entering a trade.

I have designed a system for trading as well which i might be releasing in the following weeks if you guys are interested.

تعليق:

We seemed to have reversed just shy of the .382. We broke resistance line and had a nice ABC correction within the wave 4. We are now making a flag pattern with the target being previous high 17,400.