Bitcoin price is back at levels from earlier in the year, however has yet to set a brand-new all-time high. Last night’s weekly candle close still included a brand-new damaged record for price: the highest weekly candle close in the cryptocurrency’s history.
Will the bullish weekly close cause brand-new highs? If so, will this be the conclusion of the bull run? And if not, does that indicate a bearish market rather?
A brand-new record has actually been set | Source: BTCUSD on TradingView.com
Bitcoin Price Sets New Record For Highest Weekly Close Ever
According to TradingView’s BTCUSD Index, the weekly Bitcoin price chart had a record-breaking weekly close at approximately $61,528. The number stays around $4,000 except the cryptocurrency’s existing all-time high, nevertheless, with brand-new records being set, are brand-new highs an offered?
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It is challenging to picture a situation where Bitcoin were to stops working to move higher from here, specifically after such a clear indication from bulls with weekly close. Fundamentally, the cryptocurrency is strong, limited, and supply is just lessening. Technicals are bullish, and even the news cycle has actually turned favorable for BTC with the approval of the very first ETF.
The double leading story might drive costs lower | Source: BTCUSD on TradingView.com
Bulls aren’t yet out of the woods up until a brand-new all-time high is made and after that some. The target of a double leading pattern would bring Bitcoin price back to $14,000 and might still keep a general bullish Elliott Wave count. The accompanying story would be effective for bears, however not rather a bearish market.
A more rational Elliott Wave setup would keep the leading cryptocurrency by market cap trending greater from here, however it eventually being the last upper hand prior to a bearish market gets here.
When wave 5 ends, a brand-new bearishness will start | Source: BTCUSD on TradingView.com
Elliott Wave Theory recommends that markets go up in the main instructions in 5 overall waves, which are then sub-divided even more into impulse waves and restorative waves. When the five-wave uptrend ends, a three-wave bearishness follows. Price typically then backtracks back to the in between wave 3 and wave 4 of the booming market.
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Mapping EWT over the Bitcoin price chart above, the pattern fits the chart and each time sure enough, BTC fell back to in between wave 3 and 4. The last circumstance has a much nastier fate for our preferred cryptocurrency, and it includes backtracking the whole 2020-2021 bull run.
The longer bullish supercycle might likewise be ending | Source: BTCUSD on TradingView.com
With the method an ending wave 5 backtracks back to in between a wave 3 and 4, if the bigger Bitcoin price cyclical pattern were to end, a bigger correction of the main pattern must be anticipated.
The distinction would recommend an incorrect bottom at $50,000 that ultimately offered to $20,000. Which is precisely why Elliott Wave Theory indicate the worst bearishness record when this bull run is lastly completed.
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Featured image from iStockPhoto, Charts from TradingView.com