Updated: May 31
Picking it back off from the last update #Bitcoin has rallied HARD, defying what most thought would happen. Now after 2 months and more than 150% change from the lows posted on "Black Friday" is it time to fade the rally? Wall Street believes so and many big names in the financial industry have publicly shunned BTC and cryptocurrency as a whole. With nearly every countires financial system on its tipping point to absolute devistation the ball is in Bitcoins court now. Everything the die hard Crypto fanatics have been saying the passed 3-5 years now really has a chance to be proven or not. If BTC and cryptocurrency as a whole is truly going to be the next world financial system then the time is now. For me I my best to stick to the technicals and let no outside factors weigh into my ideas. With this particular instance though its hard not to think about the grand scheme of things. Governments around the world are printing money at will in which seems to be no regards to the repercussions that will come from this. Im not sure how much longer they can keep doing this until enough people understand everything our financial systems are built on are lies. Its all propped up with tax cuts, stock buy backs, and government printing cash. What happens when taxes arent cut, stock buy backs are banned and the government cant print anymore? The world needs a new financial system and I think crypto can be that. Think about the tech boom in the early 2000's the sectors that comprised the boom can also be seen being represented in crypto. Its the same ideas that make up traditional markets but with a new brand/company representing each sector. Its the same things but with a new concept of decentralization. Crypto wont replace the dollar, the euro, or yen instead it will swallow every single dollar, euro, and yen whole. The money now lies in the traditional markets but when they see that market is all based on lies and being propped up by shady tactics is when the transfer of wealth can actually occur. Diving back into the charts I have done my best to keep members up to speed in discord. I had us long from 7.7k just prior to the run to 9.4k. Since then BTC has dropped nearly 1k and has been in what you can call consolidation period. Taking a step back on the D1 chart it seems BTC is now forming a pennant. Which is typically seen as a consolidation pattern that once concluded will have the trend prior commence again. From an Elliott Wave standpoint I have had the idea we would form this triangle for an X wave of a giant WXY combo for some time but now the triangle is getting real close to the apex. This means that we should see a break out or down rather soon. I will be the one to say if it is to be a valid BULL pennant we will break out within the next 24 hours. If we fail to do that then i may start thinking more towards a terminal triangle in which will break down. For now in order for continuation to the upside we MUST see BTC break over 9130 that also accompanies an increase of open interest/volume. If we dont see an influx in volume then the move north is probably a fake out and break out traders will be crushed. If we fail to break over 9130 and break 8530 first then im pretty positive this was a terminal triangle rather than a continuation triangle. Valid breakout targets are shown in the chart in yellow (10858) with the first area of interest being 10k. If we manage to smash both of those then all eyes on 14k and beyond. After that and things get REALLY risky to hold as I am a believer that we wont see a new ATH just yet. If you want constant intraday updates please take the week trial or opt for to become a member to Elevate. Remember to always practice good RR and never trade without defined risk! Cheers!