Bitcoin - 10% crash is coming, buy at 62k (here's why)
Updated
Bitcoin is preparing for a pretty significant crash (in June). Why do I think so? We need to look at the previous price action because in May, Bitcoin pumped by 25%. If we take a look at May's price action, we can see that the uptrend created a FVGAP at 62k, and these gaps tend to be filled sooner rather than later. This is, of course, not the only reason why I am bearish.
From the Elliott Wave perspective, Bitcoin finished the first impulse wave (1) and after such move we can expect a corrective ABC pattern because markets always move in waves. In general, a typical retracement for waves (1) is 0.618 FIB and also 0.382 FIB in strong bull markets. The 0.618 FIB overlays perfectly with the mentioned FVGAP, which gives us a pretty solid buying opportunity if the price reaches this level. The next good opportunity is to short Bitcoin on the futures market.
The next reason why I am bearish is this small red trendline. As you can see, the trendline is breaking down, which is, of course, a sign of weakness. This trendline is part of the rising wedge pattern, so it adds to the overall bearishness. Currently, I am bearish, so be careful during the summer as the price action is not the most volatile for Bitcoin during this season.
Let me know what you think about my analysis in the comment section, and please hit boost and follow for more ideas. Trading is not hard if you have a good coach! Thank you, and I wish you successful trades.
From the Elliott Wave perspective, Bitcoin finished the first impulse wave (1) and after such move we can expect a corrective ABC pattern because markets always move in waves. In general, a typical retracement for waves (1) is 0.618 FIB and also 0.382 FIB in strong bull markets. The 0.618 FIB overlays perfectly with the mentioned FVGAP, which gives us a pretty solid buying opportunity if the price reaches this level. The next good opportunity is to short Bitcoin on the futures market.
The next reason why I am bearish is this small red trendline. As you can see, the trendline is breaking down, which is, of course, a sign of weakness. This trendline is part of the rising wedge pattern, so it adds to the overall bearishness. Currently, I am bearish, so be careful during the summer as the price action is not the most volatile for Bitcoin during this season.
Let me know what you think about my analysis in the comment section, and please hit boost and follow for more ideas. Trading is not hard if you have a good coach! Thank you, and I wish you successful trades.
Note
Another sign of weakness. The second trendline is breaking down as well!Note
Bitcoin just formed another pattern, which is a symmetrical triangle. This triangle will break down, but we can spend another few days in it.Note
Bitcoin is consolidating in this bearish triangle. Buy lower at 62k!Note
A lot of people are very bullish at this moment, calling for 100K. I think we need to take liquidity first before doing so.Note
The symmetrical triangle is breaking down! This is a confirmation of the bearish move.Note
The target of the triangle is 63k. Another important update is that the price is inside this parallel descending channel. But expect a breakdown.Note
You can also use this parallel channel to time your buying entry.
💡Join VIP Trading Group (signals, my trades)
xanrox.org/vip
🟠1-MONTH: 49 USD
🟣3-MONTH: 99 USD
🟢1-YEAR: 199 USD
🟡LIFE-TIME: 299 USD
💡My Telegram
t.me/Xanrox
💡Best exchange: ☑️NO KYC✅USA✅CA✅CHINA✅IRAN✅UK
t.ly/emHgw
xanrox.org/vip
🟠1-MONTH: 49 USD
🟣3-MONTH: 99 USD
🟢1-YEAR: 199 USD
🟡LIFE-TIME: 299 USD
💡My Telegram
t.me/Xanrox
💡Best exchange: ☑️NO KYC✅USA✅CA✅CHINA✅IRAN✅UK
t.ly/emHgw
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.