SkyRock Signals

​​#Analysis

#BTC

Greetings, Dear Subscribers !

During the last week we have been carefully analyzing BTC price movement in various timeframes. Is Bitcoin going up or down through the Global Support of Fib 1? This is a very crucial question as the whole market depends on it. Here we share the most important charts to provide you with a short and clear brief about the situation and in the same way not to overload you with tons of technical information and graphs. Let's begin with the short term movement which we will see in the following weeks

The 1-hour timeframe chart which represents short term movement is drawn on the right side. As we can see there have been formed 5 Impulse Elliott growth waves. The last wave was formed 1.5 hours ago and BTC price went above $4 000 level. 5 Elliott waves are usually followed by ABC corrective movement. This conclusion is supported by technical indicators state: Moving averages and price oscillators change to "Sell" state while Stoch RSI is already in overbought zone, DMI shows a high volatility. Moreover we see higher "highs" of price movement which are followed by lower "highs" of price oscillator this means there is a bearish divergence which is a quite negative sign. In this way we forecast a further short term decrease to $3 680 with a bounce to $3 800 level and subsequent decrease to $3 480. Our analysts recommend to open here a short position.

Coming back to the Mid-Long term forecast we think the most suitable is to present a 1-day timeframe chart which is drawn on the left side. Here we can see that the price moved our of the Descending Triangle down which was quite unexpected as BTC broke up a series of Triangles before. Nevertheless it was a strong bearish sign and a sharp decrease started after breakdown happened. The price moved from $6 500 level to $3 600 where it managed to bounce. Nevertheless it was a typical rising wedge and further decrease as we mentioned in our previous analysis happened. The price moved to $3 150 which is very close to Global support level of Fib 1 which is located near $2 800. We were sure the price is going to hit it before new growth will happen, however market players started 5 Impulse Elliott growth waves. In this way we received a very bullish formation IHS which according to Technical indicators and short term analysis is going to be formed in the middle of January.

It doesn't mean we are safe now and after a short term decrease we will see a new growth. Before crypto markets and BTC will start new "to the moon" journey to new ATHs there should pass a lot more time to let people forget about crypto hype. Nevertheless during the following week we will see an ABC Elliott corrective waves. If there will be enough buy volume in the end of correction, then IHS pattern should be finished and BTC will consolidate above $4 000 level which is a very positive sign

Sincerely,

SkyRock Signals team