How Elliott Wave helped us to navigate the "Drop and Pop" Movement on BCHUSD?!
Bitcoin Cash with ticker BCHUSD is trading south for the last couple of months, but we want to focus on the intraday hourly chart in which we have spotted nice and clean pattern by Elliott wave theory.
At the end of April and beginning of May we were tracking a bearish running triangle formation within wave (iv) that was indicating for the final wave (v) before bounce and recovery. Triangle consists of five waves a-b-c-d-e and it’s a continuation pattern that usually occurs in 4th waves of an impulse and in B-waves of correction.
BCH/USD 1h chart from May 05
As you can see, after completing of a triangle within wave (iv), BCHUSD dropped yesterday on May 08 into final wave (v) towards projected target, from where we expected a rebound once a five-wave cycle of the lower degree fully unfolds.
BCH/USD 1h chart from May 08
And, today on May 09 we can see nice and sharp bounce, which suggests now at least a temporary support in place. Currently it seems to be unfolding a five-wave bullish impulse into first leg (a)/(i), so more gains can be seen for wave (c) or (iii) in upcoming days/weeks, just watch out for an intraday pullback in (b)/(ii).
BCH/USD 1h chart from May 09
Get Full Access To Our Premium Elliott Wave Analysis For 14 Days. Click here.
By using Wavetraders website, any services, products, and content contained here, you agree that use of our service is entirely at your own risk. You understand that there is a very high degree of risk involved in trading on the markets. We assume no responsibility or liability for your trading and investment results. The charts, and all articles published on www.wavetraders.com are provided for informational and educational purposes only!
By using the information and services of www.ew-forecast.com you assume full responsibility for any and all gains and losses, financial, emotional or otherwise, experienced, suffered or incurred by you.
Recommended Content
Editors’ Picks
VanEck sees Bitcoin reaching $61 trillion market cap, Marathon buys $100 million BTC
Bitcoin declined by 1% on Thursday following asset manager VanEck's forecast that the top digital asset will reach a $61 trillion market capitalization by 2050.
Ethereum Classic price sets for a rally following retest of key support
ETC edges higher by 2.3% and trades around $22.60 at the time of writing on Friday after testing a key support area the day before. On-chain data showing increased account growth suggests a bullish move ahead. Ethereum Classic price faced rejection by the daily resistance level of $25.13 earlier this week.
Celebrity meme coins lose their shine
Celebrity meme coins report by Jupiter Slorg on Thursday shows that these tokens have been in deep waters since early July after experiencing heavy growth in June. In a recent analysis, Jupiter Slorg revealed that celebrity meme coins are down by an average of 94% from their all-time highs.
Ripple gains 5%, Mark Cuban says Kamala Harris’ nomination could affect SEC lawsuit
Ripple (XRP) made a comeback above key psychological resistance early on Wednesday. Crypto traders are optimistic after the Ethereum Exchange Traded Fund (ETF) launch. Entrepreneur and investor Mark Cuban recently shared his comments on how Kamala Harris’ nomination to the Presidential elections could influence crypto regulation.
Bitcoin: Will BTC manage to recover from recent market turmoil?
Bitcoin recovers to $67,000 on Friday after finding support around $63,500 a day before. Still, BTC losses over 1.50% on the week as Mt. Gox persists in transferring Bitcoin to exchanges.