Bitcoin Drops to Anticipated Target, But $28K Still Attainable

Bitcoin Held $21,225, as Anticipated

Early last week, see here, we found for Bitcoin (BTC) using the Elliott Wave Principle (EWP), “BTC may already have bottomed for grey W-iv but can quickly drop to the grey target zone at $21,225-22,385. The crypto will have to drop below $20,412 to start to suggest something more Bearish is afoot. Thus, the current rally’s ultimate and ideal upside target of $27-28,000 remains on track.” It quickly dropped, bottomed this week at $21,407 to complete red W-iv, and already reached as high as $24,875 today. See figure 1 below.

Thus, BTC has been moving along as anticipated. My premium subscribers have benefited again, as we already informed them earlier this week that a break above Sunday’s high would trigger a rally.

Figure 1. Bitcoin daily price chart with detailed EWP count and technical indicators.

Impulse Higher Remains on Track

Thus our Bullish outlook remains unwavering. Resistance is now at $25,5K, whereas the blue arrow in Figure 1 shows the more typical relationship between the 5^th wave and the 1^st and 3^rd wave, red W-i and W-iii, respectively, as red W-v is often 0.618x the entire W-i+iii rally. Thus, as long as BTC can hold above $22,5K, we can allow for higher prices and our $27-28K target zone to be reached. Once reached, Bitcoin can decide if it wants to set us up for a new Bull run or if it is ready to target $10K before that Bull starts in earnest. We will know soon enough.