Foreign Video about Bitcoin so with Bitcoin I Took out you know I took out these sub Waves here we don't need all the Subways What is important is the higher degree Waves and if we've made a relevant five Degree wave pattern sorry five wave Pattern so it gets a little bit Overwhelming if you have too many Subways on the chart Um so we want to start with just Recognizing some of the important Patterns and structures we've got on This chart then we take a look at some Of the indicators that are relevant at The moment as some of you have asked for Um And uh yeah then we'll take a look at The wave structures really so generally From a pattern point of view what we Have we've got here at the inverse Head And Shoulders still on the chart it's Not a beautiful one but um it is still One you know you've got a left shoulder With a basically a low and you've got a Lower low and you've got a higher low Yeah and this can stretch out sometimes A little bit you can see that in red We've got the resistance area here which Is located between 16965 and 17 000 240 basically I could Actually move that a bit higher all the Way up to 17414 maybe I'll do that right now
Because this is where we had most Recently here the last Hive so it is Necessarily also to be considered a Resistance area in which we currently Are and really only if we break above Seventeen thousand for 410 or 415 or Whatever plus minus fifty dollars Depending on the exchange then we have a Proper Breakout In addition to that we've got this Upward sloping Channel I would call that An impulsive price Channel because we Have here a wave one to the upside it's A five-way structure impulse we've got a W x y to the downside correction we've Got a 50 structure to the upside impulse Three-way structure down and another Small five-way structure up three Impulses to the upside and uh three Corrections so I consider that an Impulsive price Channel out of which we Would eventually need to break to the Upside to fulfill the pattern here Ideally Um The wave count Elite wave count is still That this is a higher degree ABC Correction most likely in a wave 4. this Wave 4 would eventually most likely make Another low always bear in mind you can Be for example on the daily chart in a Downtrend and you can be for example on The 30 minute chart or the one hour Chart in an uptrend always know which
Time frame you're trading yeah you don't Necessarily need to trade the higher Degree time frame it can just be be long On the lower time frame you can even be Short on the higher time frame just be Be aware which time frame you want to Trade and be aware if on your time frame The chart is an uptrend or downtrend the Most simple way to recognize this um is By just looking for three Consecutive highs yeah so higher highs So you have your high then you make a Higher high and another higher high Indicating we're in an uptrend here You've got your low a higher low and Another higher low indicating also we in An uptrend that makes an uptrend yeah And that also helps you to recognize the Downtrend basically if it shifts Here clearly we have a short-term Uptrend also Also Um what we Eliot waivers believe Obviously is that the trend shift is Occurring when we have five waves up and Three waves down this was there for the First Signal yeah we had to wave one up We had a wave two down how did it follow Well it followed on it made another Higher high and a higher low and another Here not yet a higher um not yet a Higher high but it should do in the Third wave here Um but that's what we're waiting for but
Generally if you look at the tops here We still made three higher highs or two Higher highs after the first one so that Recognizes us that we're in an uptrend Basically also in this upward sloping Channel Um but we are still below resistance so This is a critical area to get through We need to do that um this is really Really important so above 17 410 Um we would have a valid breakout Above This wave one high yeah and then we Could have that that would give us Basically confirmation that we are in The world in a wave three breakout here So wave one up wave two down and the Wave three would be following the wave Three is most likely the most bullish Um yeah the most bullish wave in this Uptrend and I know that by Or at least I can assume that by taking The look a look at the expected target The target for Wave 3 is normally The 1.618 extension as a minimum and That would take us to 18 985 dollars so It takes it shows you that if we get This breakout above 17 410 or 14 or Whatever plus minus three dollars Um it would take us straight away most Likely to 18 985 in in that region yeah Sort of into the 19k region however as You can see here on the chart it would Not happen in one straight line you also Have here in the White Wave 3 a subwave
Pattern in five waves wave one wave two Wave three wave four and wave five so This is what um is now interesting if we Take a look now on the just sort of in The in the lower level detail Um basically what I told you in the Previous video Um Is basically at the moment at least Worked out told you that I'm not Convinced that this is already the Breakout ethereum made some nice moves Ethereum made some nice moves it all Fell into pieces again Bitcoin also made A little bit of a move but nothing too Bullish Um initially this morning I thought this Might become an edit wave triangle it Didn't it peaked a little bit higher Can't be an Elliot wave triangle but in The previous video I mentioned to you This could be very easily just an ABC Structure with a wave a to the upside a Wave B down and yeah ideal Target what Did I give you 17 210 pretty much here The one to one ratio that's where we Peaked and came down Um and the way this looks this looks That this does not look impulsive we Even broke here this kind of um Trend line even though it's not really a Relevant one is it so we take it out Only two touch points so we can take That out but it looks like that this is
Coming down a bit further this move up Just looked correctively yeah corrective In three waves to the upside so it looks Quite impulsive how we're coming down And if we take out the wave below here That's exactly where we are now 17115 pretty much then it would be an Indication that we're heading further Down and then break below 17071 and Would confirm my primary wave count Because as you remember probably from The last video we talked about this Could be an a wave a b wave and the C Wave would be still missing and could Take us down here into the support area There were two reasons why I didn't Really believe yet that this was a Sustainable breakout Um first of all well first of all it's Saturday so it's a bit not that volume That you normally need but in addition To that we only had three waves to the Upside the move up was quite weak as Well and in the retracement here we had Not reached the support area and this Support area is actually quite relevant For such a wave too because if you take A look at the flips again you can see This is actually the 50 retracement what You would normally expect in a wave two I mean the 38.2 flip level is quite a Shallow retracement for the wave 2. so Ideally I would like it to go a bit Lower which hopefully happens and so we
Had a combination here of Um different things so we didn't reach The yellow support area and we were Quite weak in going up and had not made Five waves yet and then broke below Critical support anyway so yeah we Didn't go high enough and we hadn't Reached the support area so two things Telling me that Ideally we come down lower and we seem To be doing that so if we now break this 17115 level which is also the 38.2 Percent flip level we will most likely Come to the next flip level and then Would reach my support area my target Area the trend reversal area where I Would be very happy if the price Reverses from here Okay and that's my update about Bitcoin Hope you like the update if you did Please hit the like button leave a Comment and subscribe and if you really Like the content then please check out The channel membership thanks a lot for Watching bye Thank you