BTCUSD and Truncated Fifths: The Black Swan
מעודכן
Disclaimer: This is not financial advice, and I do not have training sufficient to give financial advice. For me, this is a hobby.
The Black Swan
Truncated fifth waves in Bull and Bear Markets revealed in Daily chart and below in Weekly chart. Bear Market truncation of Wave C's lesser-degree Wave (v). Original analysis with alternate counts is linked. Comments are welcomed.
Weekly Chart
Indicators and Outlook
Expect an uptick in price by the end of 22 Oct Weekly candle but potentially by the close of today's Daily candle. This event might have already occurred.
Price would then trade sideways for a seemingly extended time frame as negative sentiment grows. BTC and altcoin price-cycles might remain synchronized throughout Depression but will be visibly contrasted by Disbelief, where advocacy of a continued Bear market will dominate. Hope will strike unexpectedly and, in hindsight, the start of the new market cycle will be obvious.
The Black Swan
Truncated fifth waves in Bull and Bear Markets revealed in Daily chart and below in Weekly chart. Bear Market truncation of Wave C's lesser-degree Wave (v). Original analysis with alternate counts is linked. Comments are welcomed.
Weekly Chart
Indicators and Outlook
Expect an uptick in price by the end of 22 Oct Weekly candle but potentially by the close of today's Daily candle. This event might have already occurred.
Price would then trade sideways for a seemingly extended time frame as negative sentiment grows. BTC and altcoin price-cycles might remain synchronized throughout Depression but will be visibly contrasted by Disbelief, where advocacy of a continued Bear market will dominate. Hope will strike unexpectedly and, in hindsight, the start of the new market cycle will be obvious.
הערה
Congrats to those traders who went Long. Bear rugs are currently selling at cost. My charts indicate my analysis of the new cycle potentially beginning today or during this Weekly candle. I wouldn't have risked my life on that call, but I did risk a substantial position. We will see how things continue to play out and if Bulls truly got the last laugh. Comments are welcomed.Were There Indicators?
There's been recent FUD about USDT collapsing. This rumor spread last year prior to the rally. There might be some truth to the USDT arbitrage rumors, but taken in conjunction with last year's USDT prior-rally spike this was likely Bulls loading up for the run. Recently 'Bears' have been very outspoken and at times harshly insulting. Could they really know something that we don't or be trying to save us from loss? Or, could they be Bulls in Bear's clothing priming the market for a rally? The more sudden and severe the FUD is the more you should question it.
Where Are We Now?
The growing negative sentiment of the market is clear, and BTC and altcoin cycles seem to be diverging. Today's current peak of ~$7,800 approximately reached last cycle's Wave 1 peak of $7,900. Therefore, is plausible to consider we've reached Disbelief of a new cycle. If so then we can expect further FUD about this 'one-off rally' and a 'big dip' just around the corner. I wouldn't be surprised to see an uptick in old and new rumors about the legality of cryptocurrencies and trading.
I don't advocate blindly ignoring crypto news, but personally I will remain weary. Hope will strike as suddenly as today's rally did but with more intensity.
הערה
Potential count and forecastJust a possibility to be aware of. Also possible Bulls will cause this Wave to end as triangle (hopefully ascending:) instead of Wave C as depicted.
הערה
Looking like we don't have the volume to get the B retracement I charted. Might just head to $6550 area, which could enable the volume for another leg up.הערה
Morning update: I’m more uncertain about last night’s potential count. Since yesterday’s price spike the shape of BTC in 15 - 1 hr views are more of an increasingly Bull market and transition from Depression to Disbelief. Other traders have posted updates about continued sideways trading, which would corroborate this transition as I’ve previously mentioned.הערה
For you fractal fans.הערה
הערה
Main differences of fractals patterns are consistent with the Black Swan analysis. The dampened 2018 retrace is from truncated Wave 5 and the dampened Sept 2018 drop is from truncated Wave C.And with that, my outlook continues to grow in optimism.
הערה
Only conjecture at the moment, but interesting conjecture nonetheless.Comparing the above fractals (if they can be considered that), today’s timeframe is roughly 2/3 of 2014’s. Extrapolating this indicates a considerable pump by mid-December, dump by January, and sideways trading until late Feb or March. In other words, Disbelief could peak (price rises then falls/Bull trap) at end of year and Hope could come by March.
Psychologically, this makes sense. Bears will expect Santa to bring ‘the big drop’ and Bulls will expect ‘the big rally’. Bull’s will eagerly buy-in to the smaller rally and become trapped. Bears will be pleased with smaller drop and continue to call for the big one. This primes the market for whales to truly kick things off in March.
הערה
Narrowing Down Bull ScenariosThe re-emerging 2013/2014 pattern fueled me to spend hours last night and this morning re-assessing BTCUSD(T). In doing so I’ve decided upon two Bull scenarios, which I won’t re-evaluate for some time.
Scenario 1
Based on the main chart of this Idea and reoccurrence of the 2013/2014 pattern (after considering our truncated fifths). We are only now trudging through Depression. Until the year’s end we can expect several small traps. Price will likely remain between 7.9k and 6k. By January we should begin a trek upwards with a peak by March at Disbelief.
Scenario 2
Based on BTC chart from a previous Idea (provides below) and assessments of LTCETH and LTCBTC. BTC entered Depression with June’s low and began its trek to Disbelief with October’s price spike. We’ll likely reach Disbelief by the year’s end. Ignoring the timeframe, the below chart roughly depicts this.
I am a significant LTC holder and noticed optimistic LTCETH patterns in Daily and Weekly. Similarly, LTCBTC is likely to increase, though not as significantly as LTCETH’s patterns indicate. This indicates a the potential that BTC is going to take off before ETH, thereby drastically increasing LTCETH.
Bear Scenarios[\b]
There are plenty Bear Ideas out there to consider so I’ll keep this limited to my only Bear scenario. As shown in the below chart, my original BTC low target was $4,800. It’s still a possibility, though I am now Bullish on BTC.
הערה
Apologize for the Bold failure. Here’s the chart.הערה
$6540 target hit. Might continue towards $6405 before back up to test 7k-7.2k as resistance.הערה
Bull Market started 15 October following the end of a truncated Wave C. Private idea linked below, zoomed in chart image also provided.
הערה
Possible low between $6410 - $6390 (TP $6405), though, personally, I’d remain neutral (not short) as a holder. Price could jump at anytime to between $7600 - $8000.הערה
To clarify, resistance at ~7k. Price likely won’t break through during current weekly candle but will likely break through during next weekly candle to retest 7.6k - 8k.הערה
Continued OptimismChart should speak for itself. Depicts two upwards trending Support levels. Price currently in green wedge. If price breaks below to the blue Support line then expect to see a ~$6300 low. The blue line still is still an upwards trends.
הערה
Currently below green line support. If closes below it on 2H TF then likely chance price continues down towards ~$6315.הערה
Looks like we might be staying above green line after all!הערה
Under green support line again. Need to close above $6564 (Bitfinex) on 2H else down to $6400’s, possibly down to ~$6315.הערה
Correction - need to close above $6564 on 4H TF.הערה
Tonight into tomorrow morning (EST) will be interesting. BTC closed below green line support on 4H, but looks to be trading sideways. Since it closed below price can potentially head towards ~$6300 before bouncing back up. However, there were decent drops in each of the Indices today. This creates the possibility for traders to usher in new capital and prevent BTC from dropping. This could even give BTC price a nice bump. Time will tell.הערה
Solely conjecture. I'm speculative Whales are pushing price down to cause FUD because of the perceived correlation with US Index Funds that is created. BTC is not correlated with US Index Funds. If that were true then BTC would have reached a new ATH in 2018 like the Indices did.הערה
Daily TF price ranges I'm looking out for.הערה
Shaded rectangular resistance/support regions are price ranges. If price enters then potential for it to break through channel increases, i.e., if orange range reached then higher chance of dropping into orange channel. If red rectangular range reached higher chance of drop into red region from orange. If green range maintained on Daily then higher chance of long-term upwards breakout.הערה
Potential wave count of lesser degree waves 1 and 2 of new market cycle. Price might not drop to wave c targets since w2 already retraced much of w1. Point is, don’t be alarmed if price approaches indicated targets. If price drops below $6220.3 then count is invalidated.הערה
Wave c targets based on 24% and 30% of Wave a length. If valid, won’t go below (i) $6220.3 price.הערה
Ugh... Meant (0) price of $6220.3 NOT (i).הערה
Yes, wb only retraced ~11% of wa. As low as 10% can occur in B running triangles. Wave b here likely ended at last green candle prior to the 25th.הערה
Just realized I never stated the targets and that I posted a chart instead of private idea (to see for yourself). Though, again it's possible price won't reach targets. Count invalid if it breaks below $$6220.3. TP: $6354 - $6275, extreme bottom $6220.3
הערה
Meant to originally depict wave c targets. Hopefully this makes things more clear.
הערה
Apologies. I have made blunder after blunder with this recent count. The red price line should indicate $6,220.3 NOT $6,160.3.הערה
Hit both targets. Currently in Orange channel depicted in chart from 25 Oct update. Price spike potentially touched the triangle’s top, though I suspect we’ve broken upwards based on the price stability. This is not 100%. November is typically bullish for BTC which is good. Also, alts have clearly diverged from BTC and ETH in their cycles (USD/USDT equivalent price cycles). Going camping next four days but hope to get an updated chart out before departing.הערה
Have an amazing chart I hope to get out in several hours. Confirms breakout and test of support. So LONG Bears. Next year tentative high 
25K-40k!הערה
For now, zoomed in snapshot of the much larger chart. הערה
New idea is finished and published! Further updates will likely only be posted to new idea.
פרסומים קשורים
כתב ויתור
המידע והפרסומים אינם אמורים להיות, ואינם מהווים, עצות פיננסיות, השקעות, מסחר או סוגים אחרים של עצות או המלצות שסופקו או מאושרים על ידי TradingView. קרא עוד בתנאים וההגבלות.