Buyers, be careful! Bears might be showing up soon!

BITSTAMP:BTCUSD   Bitcoin / U.S. Dollar
Primary count
As BTC approaches the psychological barrier of 10 000 dollars, it saw resistance at an important Fibonacci level of 0.618 measured from the high 11750 to the low of 6430. The proposed primary count also has its wave 1 equal to wave 5 which is a common ratio when there is extended wave 3. There is also decline in buying power as we are approaching the top of the impulse from 6450. All of these together with a daily RSI divergence increase the odds of completed 5 wave structure and the start of a pullback.

Secondary count
However, the bulls haven't lost hope completely yet as long as we stay above the bottom of wave 4. The alternative count is that we have just completed sub-wave 1 and 2 of the higher degree wave 5. Assuming we pass the previous high of 9950, then the most likely target is coming from a confluence of two ratios. The negative -0.236 from wave 3 and the wave 5 to wave 1 relationship of 1.618. This would bring us to around 11600 as a secondary target.

Today's takeaway:
The most common ratios of wave 5 to wave 1 when we have extended wave 3 (i.e. wave 3 is bigger than 1.618 times wave 1) are:
A) Wave 5 = Wave 1 (current primary count)
B) Wave 5 = 1.618 times Wave 1 (current secondary count)
C) Wave 5 = 2.618 times Wave 1

For more information about our trading suite and ICO investment fund, feel free to contact us at
If you find this content useful and want to receive daily updates about the market, don't forget to follow us!

Good luck and healthy gains!
CR Capital team
EN English (UK)
EN English
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
HE עברית
Home Stock Screener Forex Screener Crypto Screener Economic Calendar How It Works Chart Features Pricing House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Get Help Feature Request Blog & News FAQ Wiki Twitter
Profile Profile Settings Account and Billing Get Help Ideas Published Followers Following Private Messages Chat Sign Out