Graphic Analysis
1. General Appearance and Formation
The chart clearly shows Bitcoin’s wave analysis and Fibonacci extensions. The structure seen appears to have been analyzed using Elliott Wave Theory. The price action shows the potential for a strong uptrend to continue.
2. Target and Prices
• Upward Targets: 93,316, 98,646 and 104,524 levels have been determined as Fibonacci extensions. These levels can act as strong resistances and can be evaluated as take profit points.
• Wave Structure: 1.618 and 2.236 Fibonacci levels are important targets that support the current movement of the price.
3. Support and Resistance Levels
• Support Levels: Critical supports are around 89,131 and 85,000. These levels could create strong buying pressure in a possible pullback.
• Resistance Levels: 93.316 and 98.646 levels should be monitored as important resistance areas. Breaking above these levels may confirm the continuation of the rise.
4. Indicators
• Moving Averages: The price is trading above the moving averages, which shows that the uptrend is maintaining its strength.
• Fibonacci Levels: Expansion levels are used to determine target prices and support the continuation of the trend.
5. Formation and Rotation
• Elliott Wave Structure: According to Elliott Wave Theory, the chart indicates that the price will move on to the fourth wave after completing the third wave and then upward targets will be seen with the fifth wave. The fourth wave can usually be a consolidation period.
• Potential Breakout: A short-term correction (4th wave) may occur as the price completes the third wave, followed by a strong rise in the fifth wave.
6. Trend Direction
• Short-Term Trend: The uptrend is maintained, but a fourth wave correction can be expected.
• Medium Term Trend: The general upward trend is strong and has the potential to continue towards upward targets.
7. Strategy and Recommendations
1. Buying Strategy: After the fourth wave correction (between 93,000-91,000 levels), gradual purchases can be made. In the fifth wave, targets may be 98,646 and 104,524 levels.
2. Profit Taking: Profit can be taken gradually at the Fibonacci levels determined in upward movements.
3. Stop-Loss: If the price falls below the 89,131 support, a stop loss strategy should be applied.
4. Volume to Watch: Volume needs to increase for the rally to continue. A rally with low volume could be a sign of weak momentum.
8. Conclusion and Comment
Bitcoin is in a strong uptrend and is preparing for the fifth wave according to Elliott Wave Theory. A short-term correction can be expected, which may present new buying opportunities. Fibonacci levels should be followed carefully in upward targets. It is important not to forget risk management and to place stop-loss below support levels.
