Bitcoin Elliott Wave analysis for 24/01/2019

Bitcoin Elliott Wave analysis for 24/01/2019:

Five waves of the impulsive decline are now completed, time for a rally?

Market technical overview:

The BTC/USD pair has just completed the five wave decline in the last leg of correction, labeled as the wave C. The overall corrective pattern in the wave 2/B is now a simple Zig-Zag pattern, so the market is ready for an impulsive rally higher. Nevertheless, the price can not break through the trendline and current local high was made at the level of $3,615. This level will now act as a local technical resistance for the price. The next target level for the bulls is seen at 38% of the whole swing down at the level of $3,672. The other target is seen at 50% Fibonacci retracement at the level of $3,756.

Recommendations:

The market is ready to rally higher, so the buy orders should be in play as long as the level of $3,402 is not clearly violated (due to wave 1 and wave 2 overlap). The targets are seen at the level of $3,672 and $3,756, but the market might break through these levels as the impulsive wave to the upside will unfold.

analytics5c49e8926d60a.jpg

The material has been provided by InstaForex Company - www.instaforex.com