- The solution to this analysis is to find the most probable reversal point for this corrective move, that is currently happening on Bitcoin .
- Bitcoin failed to make a parabolic move. If we compare the start of the bull market in 2018, it was different because Bitcoin parabolically rose. But this time is different!
- We must now concentrate on catching the bottom of this correction so that we can ride wave 3. Waves 3 are usually the most impulsive and most parabolic, so you really want to be in the market.
- To catch the bottom of this corrective move, we need to use the most effective tools, such as FIB, GAPS, and Elliott Waves . Elliott Wave works best with crypto and stocks and worst with forex, so you want to use different tools for each environment.
- On the chart, you can see 4 possible reversal points. Which one do you think is the most probable? Let me know in the comment section; I want to see your opinion! In my opinion, the 0.618 FIB seems the most logical level for a trend reversal.
- But POC and the start of the gap at 16859 are also pretty juicy. But it’s too low; it’s hard to believe that the market will go back to these levels. On the other side, everything is possible.
- Also, we have a CME gap on BTC1! futures , which is between 19995 and 20460. The chances of a pullback in this area are very high!
- This analysis is not a trade setup; there is no stop-loss, entry point, profit target, expected duration of the trade, risk-to-reward ratio, or timing. I post trade setups privately.
- The true issue and threat is the unfilled GAP between 16.8K and 20.4K. Usually, all gaps tend to be filled. You can do a backtest, and you will see that this is pretty much true. We don’t need to close the gap completely, but partially, yes. That’s why it’s almost a guarantee that Bitcoinis going to touch 20500 sooner or later. It can be this month, next month, or even later next year, in 2024. I hope it’s going to happen sooner rather than later!
- I am not shorting anything, just to be clear. I rather prefer short-term longs with low RR rather than shorting. I don’t want to play against the main trend, which is bullish! I believe we will hit a new all time high on Bitcoin this year or next year.
- Thank you, and for more ideas, hit “Like” and “Follow”!
- https://www.tradingview.com/chart/BTCUSDT/Fg2NjMsh-Bitcoin-20k-or-18k-before-40k-CME-GAP/
