Bitcoin’s $15K Dip: The Final Bottom?
Analyzing Bitcoin’s monthly wave cycle, the retracement following its 69K rally was initially expected to be a 4th wave correction. However, the move went deeper than the 19K top of 2017, reaching as low as 15K in 2022. This raised a key question about the wave structure.
According to the Elliott Wave Principle, in an impulse wave, wave four should not overlap wave one’s price territory unless the pattern is a Diagonal Triangle. Yet, given the clear five-wave structure of the preceding moves, the possibility of a Diagonal Triangle is invalid. This led to a revision of the wave count, interpreting the 15K dip as part of an extended wave three at the Intermediate Degree.
Currently, Bitcoin is in price discovery mode, setting one all-time high after another. Based on this trajectory, the next targets could potentially reach between 100K and 150K (see my previously published chart). This would mark the completion of wave three on the Minor Degree, which could then signal the start of a sideways bear cycle (wave four). The alternation principle suggests this sideways action, as wave two was a sharp correction.
From this analysis, the 15K dip appears to be the final bottom for Bitcoin, likely holding strong for the foreseeable future.
According to the Elliott Wave Principle, in an impulse wave, wave four should not overlap wave one’s price territory unless the pattern is a Diagonal Triangle. Yet, given the clear five-wave structure of the preceding moves, the possibility of a Diagonal Triangle is invalid. This led to a revision of the wave count, interpreting the 15K dip as part of an extended wave three at the Intermediate Degree.
Currently, Bitcoin is in price discovery mode, setting one all-time high after another. Based on this trajectory, the next targets could potentially reach between 100K and 150K (see my previously published chart). This would mark the completion of wave three on the Minor Degree, which could then signal the start of a sideways bear cycle (wave four). The alternation principle suggests this sideways action, as wave two was a sharp correction.
From this analysis, the 15K dip appears to be the final bottom for Bitcoin, likely holding strong for the foreseeable future.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.