Bitcoin Correction Update: Short Term Uptrend Broken

in #bitcoin7 years ago

Bitcoin's Short Term Uptrend Breached

The short term uptrend which has been acting as support for Bitcoin has now been breached, as well as 2 Fibonacci levels:

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You may also notice a new addition to my chart here, an Elliott Wave count. Im still studying EW theory, but there appears to be a clear 5 wave pattern that has formed on the recent rally.

This means we should now be seeing an "ABC" correction taking place.

What Does That Mean?

What that means is we should see a move lower (Or "A", which we're doing now) followed by a bounce up (B), and then another pullback lower (C).

50% Correction

The 50% retracement level provided a short term bounce and is holding (for now?). This was also due to the fact that the RSI went oversold momentarily as we can see here:

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The MACD is also still bearish:

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How Things Change

NOTE: I started writing this post about an hour ago and got called away, so the above charts are already looking different right now. So, before posting this, I'll update further...

Update!

A third Fib level has now also been breached as Bitcoin continues to fall:

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The retracement is now over 50% and is around 60%.

Important Level

$11000 is now the most important level. If that gets breached, then the rising support line will be the next major area to be tested. At the moment it appears to be safe.

I was not expecting the correction to move as fast as it has.

Buckle up everyone! & Thanks for viewing!

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There is still a lot of space down the green line, if not the lower red line:

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That could certainly happen! We'll see :-)

The majority of crypto-markets seem to have found a correlation with bitcoin, BCH, ETH, LTC, DASH and many other large markets dumped in unison with BTC. For Bitcoin, the return to 11,000 USD comes on the sixth consecutive day of decline after testing the $ 20,000 zone, while BCH is experiencing its second day of decline following the spectacular setting of new records at $ 4,000.

Bitcoin loses 40% in 1 week
Bitcoin has continued to sell off in recent days, as BTC markets have now experienced their sixth consecutive day of "retracement" following the establishment of new historical highs just below the $ 20,000 mark on several major trades

My owe thought about what really cause the downward part in bitcoin price is the high supply by it holder due to the high spending by it holder. I believe your report about the rising and falling in the price of bitcoin.