Bitcoin Bloodbath Was 10 Days In The Making
EWM Interactive | Jan 17, 2018 05:46AM ET
So far, 2018 is definitely not what crypto investors were hoping for. The entire cryptocurrency market crashed yesterday as each coin lost between 15% and 40% of its market capitalization. Bitcoin, the biggest virtual currency out there, could not escape the bloodbath, as well. invalidation level at $19 666, the odds would remain in the bears’ favor. A week later, the analysis we sent to clients on January 14th included the following chart.
The price of Bitcoin did not even manage to reach a new swing high. Instead, it started diving right away and seven days later BTCUSD was by $2740 to $13 615. However, this chart did not suggest the bears were done, so it made sense to expect them to drag Bitcoin prices below the $11 000 mark. This allowed us to move the invalidation level from $19 666 down to $14 620. Three days later and exactly a month after Bitcoin reached its all-time high on December 17th, 2017, here is how its hourly price chart looks today.
It is true that the bulls tried to conquer $14 620. Fortunately, they failed as Bitcoin prices only rose to $14 394 on Monday. $14 620 remained intact, which meant $11 000 was still there for the bears to put their heavy paws on. As of this writing, the price of the biggest cryptocurrency is hovering around $10 350 and we are so glad the Elliott Wave principle warned us not to buy when it was $6000 higher just ten days ago.
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