BTC hit exactly the 2.618 fib extension of wave 1-2 (and also 0.886 of 6k-11.7k), now it's bounce time.
2 questions to ask ourselves:
And if it fails to retrace to atleast 7600 (0.382 level), and/or it makes a truncated C in this bounce, then that will be extremely bearish.
So, watch this bounce closely!
2 questions to ask ourselves:
- If we just finished subwave A of wave C inside the main ABC formation (from 11.7k), then are we in wave B now? If yes, then we will see a 3 wave structure probably retracing to the 0.382-0.5 fib level (7500-7900, green box), then it goes way down for wave C, which will be a 5 wave structure again, probably targeting 5800 or 4800.
- Or... did we finish the whole ABC correction with this 6600 bottom? If yes, then that means a truncated C (reaching only 0.618 instead of 1), which would be a bullish sign. We get confirmation of this, if we see a 5 wave structure going up from here (not drawn).
And if it fails to retrace to atleast 7600 (0.382 level), and/or it makes a truncated C in this bounce, then that will be extremely bearish.
So, watch this bounce closely!
