Bitcoin Elliott Wave Forecasts Near Term Support of Prices

The Bitcoin Elliott Wave forecast suggests that shorter-term bullish patterns may emerge to drive the cryptocurrency back up to $11,600.

Bitcoin Elliott Wave Analysis Talking Points:

  • Bitcoin prices have been rallied from the 6,500 low in an impulse wave
  • When an impulse wave starts a new trend, we anticipate a partial retracement followed by another bullish wave of similar size
  • Above 7,800 anticipate a recovery up to 11,600

Bitcoin prices have been falling since the December 2017 high. Though we cannot say for sure if the multi-month correction is over, the rally that began on April 6 has taken the shape of a bullish impulse wave. Therefore, we know from our studies of Elliott Wave Theory that an impulse wave that begins a new trend typically means we are witnessing the beginning of a zigzag pattern or a larger degree impulse wave. In both scenarios, it is a high probability we see a partial retracement followed by another rally of similar size or Fibonacci proportions to the first wave.

Fibonacci partial retracement

The first movement we are looking for after the impulse wave rally is a partial retracement and correction lower

Article source: https://www.dailyfx.com/forex/technical/elliott_wave/cryptocurrency/2018/05/15/Bitcoin-Elliott-Wave-Forecast-Support.html?DFXfeeds=forex:technical:elliott_wave:cryptocurrency