Using the Elliott Wave to Determine the Next Destination for Bitcoin

Bitcoin (BTC) completed an ABC correction after breaking out on a descending parallel channel.

It could have sparked a new bullish impulse aiming for a new all-time high.

Count waves

BTC’s move after its all-time high of April 14th (highlighted) is a bearish impulse with five waves (orange). However, it is uncertain whether this will be the start of a new bearish impulse or the conclusion of Wave C (white).

Most likely it is wave C. Although this wave is significantly longer than wave A, it is still in the valid parametric range, since the length of wave C is 2.61 times shorter than wave A.

Additionally, since the June 22nd low, the move has been similar to what will happen when the correction completes.

BTC / USDT daily chart | Source: TradingView

As a result, BTC could have triggered a new bullish impulse (white) with the target being a new all-time high.

In this case, it was just completing the second wave when it bounced out of the $ 40,000 area on September 21st. This is 0.5 fib retracement support when measuring all of the upward move.

So BTC could be on the third wave of an upward pulse. To learn more about previous wavenumber analysis, click here.

BTC / USDT daily chart | Source: TradingView

Future movement

Trader @TheTradinghubb outlined the number of bullish waves that BTC has launched a new bullish impulse.

The source: Twitter

Completion of the ABC correction was confirmed with a breakout above the descending parallel channel.

Hence, BTC could be in subwave 1 of wave 3 of a new bullish impulse.

The number of small partial waves is shown in black.

BTC / USDT 6-hour chart | Source: TradingView

The number of waves decreases

Both the long-term and short-term movement are the same even in the downtrend. However, the medium-term development may be different.

In this case, BTC is still in wave B of the longer-term correction structure, since the current ABC structure (orange) is only wave A (white) of this structure.

Since this move is a shallow correction, BTC could soar to at least $ 51,000 before falling back to the September 21 lows. Thereafter, the upward trend should continue.

BTC / USDT 12-hour chart | Source: TradingView

You can see the Bitcoin price here.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

According to Beincrypto

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page