πŸš€ Bitcoin Reaches 17k But Rally Far From Completed πŸš€

3 min read

Dear traders,

Bitcoin (BTC/USD) is surging higher. But can the uptrend keep its pace?Β 

This article reviews the key Elliott Wave patterns. Plus we dive into the critical invalidation and confirmation levels.

Price Charts and Technical Analysis

Bitcoin’s most recent high showed the strongest momentum. This is visible in the momentum indicators at the bottom (green boxes). The momentum strength confirms a wave 3 of wave 3.

This means that more upside is very likely. The uptrend will probably develop via multiple waves 345 to higher targets. Currently price action seems to be in wave 3 (green). The next targets are located at 16,700 and 17,500.

On the 1 hour chart, price action completed an ABC (pink) pattern within a wave 4 (blue) correction. Now it’s developing a 5 wave extension (pink) within wave 5 (blue).

The next price swing will be determined by the breakout direction versus the 21 ema zone:

  • A bullish breakout confirms the continuation of the uptrend and wave 3 (pink)
  • A bearish breakout could indicate a deeper wave 4 (pink)
  • The current 5 wave (pink) is invalidated if price retraces too deep (red circle)

The bulls seem to be in control for an immediate push higher on the 1 hour chart. But also on the 4 hour chart, more upside seems to be a question of when, not if.

The analysis has been done with the indicators and template from the SWAT method (simple wave analysis and trading). For more daily technical and wave analysis and updates, sign-up to our newsletter.

Good trading,
Chris Svorcik

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