BITCOIN TECHNICAL ANALYSIS – KEY POINTS
As discussed for Ethereum, we are experiencing a total correction in the Crypto Market. Bitcoin has also completed its 5 Wave Motive Structure. So what is expected? Yes, the ABC or ABCDE correction. Bitcoin on the weekly chart indicates that the Corrective A & B waves have completed, and therefore C Wave correction is expected, which is currently in play. C Wave is presently on its way to its first $28,600. This support is not strong enough to hold; therefore, the next target for the wave ends at around $19,519. The expectation of $28,000 is likely to occur between May-June, and we can see Altcoin Market Bull Run during July.
Below Technical Analysis indicate that the weekly 5 Elliott Wave structure has been complet-ed. ABC Wave is in action. C Wave targets will be the bottom of A Wave, and when it’s been broken, the $19,519 is expected to be in play. We see a clear picture of weekly candles closed below Ichimoku Cloud, indicating the bearish scenario and confirming the C Wave.
BITCOIN WEEKLY TREND INDICATOR
The weekly wave trend below also indicates a bearish signal for Bitcoin. This is in line with the C corrective wave action expected to be continued. Wave trend signals are also bearish when we check the daily and the monthly charts for Bitcoin. We will be updating our technical analysis as soon as a reversal sign is received.
RELATIVE STRENGTH INDICATOR (RSI)
Bitcoin’s 14 week average for RSI is below the 50% level. Daily RSI indication below 50% level should be eliminated to talk about a reversal and a bullish scenario therefore below 50% indicates a bearish scenario.
Like Ethereum, Bitcoin’s Monthly RSI is at 62.5% which is above 50%. However, the monthly RSI shows the bottom direction although it is above 50%. If the direction would have been upwards above 50% then we would have discussed the bullish pattern.