BTC Getting Ready to DROP - Read for more info!
Bitcoin could enter a strong 3rd wave down soon which would likely send the price down to as low as 20700.
Due to the formation of the 5 clear waves in orange, the next major move looks like it will be a steep drop down.
A good entry on the short is at the Entry prices shown below.
The volume profile on the left hand side shows a significant amount of volume at the 28000 price level. This price is also at the 50% retracement of all 5 orange waves, so this would be an excellent place to enter a short position. In addition, we have the upward sloping white trend line and the 0.618 (golden ratio) retracement at 28740 which would also be an incredible place to enter a short position.
The stop loss is placed at the top of orange wave (1) because if the price goes beyond this level this count becomes invalid, although this seems highly unlikely to be reached.
The take profit shown below is at the price equal to 1.618 * the length of waves (1) to (5) taken from the 0.618 retracement of all 5 orange waves. This is a common ratio for price to reach during a '3rd' wave down (which this would be if it plays out). According to Elliott Wave Theory "The 3rd wave is usually the longest and strongest".
Entry Prices: 28741, 28056, 27387, 26897
Stop Loss: 31085
Take Profit: 20700
Disclaimer: Not financial advice and only intended for educational purposes
Due to the formation of the 5 clear waves in orange, the next major move looks like it will be a steep drop down.
A good entry on the short is at the Entry prices shown below.
The volume profile on the left hand side shows a significant amount of volume at the 28000 price level. This price is also at the 50% retracement of all 5 orange waves, so this would be an excellent place to enter a short position. In addition, we have the upward sloping white trend line and the 0.618 (golden ratio) retracement at 28740 which would also be an incredible place to enter a short position.
The stop loss is placed at the top of orange wave (1) because if the price goes beyond this level this count becomes invalid, although this seems highly unlikely to be reached.
The take profit shown below is at the price equal to 1.618 * the length of waves (1) to (5) taken from the 0.618 retracement of all 5 orange waves. This is a common ratio for price to reach during a '3rd' wave down (which this would be if it plays out). According to Elliott Wave Theory "The 3rd wave is usually the longest and strongest".
Entry Prices: 28741, 28056, 27387, 26897
Stop Loss: 31085
Take Profit: 20700
Disclaimer: Not financial advice and only intended for educational purposes
We all need to strap ourselves in for this one as it's going to be a big drop it seems.