BTCUSD Can Fall Below 10k – Elliott Wave Analysis [Video]

0

We want to show you our view of a typical and perfect Elliott Wave setup on a lower timeframe.

So, as you can see, BTCUSD turned sharply from the highs and we can clearly count five waves down, which is our signal of a trend reversal and in Elliott wave theory is called an impulsive wave.

Then we can see a clear three-wave regular 3-3-5 correction, with three waves up into wave A, three waves down into wave B and five waves again up into wave C, that found resistance around the 17000 region.

As always, to find the right entry position, we always wait for confirmations. Confirmations are very important, because they signalize that we are on the right track, so in this case our confirmation would be a break beneath 14000 level, so if BTCUSD breaks under 14000 level, we expect even more weakness towards new lows, where next target can be around 8000 support level or maybe even lower.

As said above, we are bearish and will keep looking lower unless 20k is broken out. Then we may adjust the view.

Get the 5 most predictable currency pairs

About Author

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of www.ew-forecast.com, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At www.ew-forecast.com he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!