Is Bitcoin’s Local Top In?
Dr. Arnout ter Schure | Nov 15, 2023 01:46PM ET
Last week, see here, we showed, by using the Elliott Wave Principle (EWP), that a local top for Bitcoin was approaching and found,
“it is still wrapping up the … green W-1, which … can be raised to around $37,500+/-1000. From there, we should expect BTC to drop to approximately $28,500-32,500 for the green W-2 before the green W-3 targets at least $45K, but possibly much higher. The alternative is that BTC is in a one-degree lower, aka more minor, 3rd wave, and instead of wrapping up one more set of a 4th and 5th wave, it needs a set of two more before the larger W-2 pullback occurs.”
Fast forward, and our assessment that BTC would continue to move higher and top out was again correct, as it reached as high as $37990 on November 9. Right inside the ideal (green) target zone: see Figure 1 below.
Figure 1. The daily chart of BTC with several technical indicators
As shown in our last up, the alternative remains that BTC needs to wrap up one more set of a 4th and 5th wave before the larger W-2 pullback occurs. Last week, it completed the red W-iii, and yesterday’s low may have been the red W-iv, with the red W-v now underway. See Figure 2 below. This sequence would target slightly higher at around $40K. It will require a break above the November 9 high to confirm while holding above the critical $33406 level (black dotted horizontal line).
Figure 2. The daily chart of BTC with several technical indicators
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Read market moving news with a personalized feed of stocks you care about.Get The App“Based on BTC’s past cycles, made up of four more minor phases, it is currently in the accumulation phase and thus close to the next Bull run, which can target $100-200+K by the end of 2025.”
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