Falling wedge 8 wave elliot wave theory scenario (BTC)Good morning traders,
It appears we've got an 8 wave downtrend (elliot wave theory) which is in confluence with demand around $28,500 zone & supply currently around $35,500. If this scenario fully plays out within the first 2 weeks of February we will have broke above this falling wedge pattern for bitcoin.
My previous posts suggested more bearish downside and this technical analysis is the most probable scenario my mind can put together. We've already seen a 30% pullback from the current ATH ($42,000) and in 2017-2018 there was multiple of them before continuing the bull run breaking into price discovery time again and again.
A few days ago I thought $30,000 may get s/r flipped into resistance, however the trend is still intact and we haven't seen a waterfall type drop which is what we seen when bitcoin topped out in the previous bull runs. (if this was happening trust me we'd know because support levels would be breaking non stop, but we couldn't even get a daily close below $30,000.
We should be finishing up the 4th wave (iv) of the downtrend and entering the 5th (v) which will take us down to the demand zone where I'd imagine whales and top traders will be loading up on for the rally to $50,000 probably by the end of February.
The timing of the complete 8 wave downtrend (elliot wave theory) may not be 100% accurate but it's the movements that matter at the end of the day. This will be my last technical analysis until we've tapped the demand zone which is also the end of the 5th wave and the initiation of wave (a) which eventually will lead to a breakout out of the falling wedge.
Please get this technical analysis to 30+ likes to unlock the next post 👍
