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Bullish upside for Bitcoin (BTCUSD)?? Wave analysis: 4hr tf

My previous post on Bitcoin can be found here:

It was mentioned in the previous post that a 3 waves or 5 waves was next for the price of Bitcoin (BTCUSD), and therefore only long (buy) trades should be placed. The 4hr tf chart has been updated and with the price swing from ~$9,900 to ~$7996 (May 18, 2018) finished at a 61.8% ($8001.70) retracement of the previous upswing, which implies Bitcoin (BTCUSD) finding support at this price level.

Bitcoin price analysis using the Elliott wave principle

Moreover, a breakout above the downtrend line on May 20 as shown by the purple ellipse argues for a potential upside in the price of Bitcoin (BTCUSD). The green line on the relative strength index (RSI) and on the price chart indicates a bullish divergence further supports the price of Bitcoin (BTCUSD) sustaining a bullish momentum.

The price swing from ~$9,900 to ~$7996 is identified in this analysis as corrective and labeled as a minute wave ((a)) or a Minor wave X. Either scenario does suggest more upside for Bitcoin (BTCUSD) and therefore favors a bullish scenario.

POI (point of invalidation) for this analysis is a price close below ~$7959.40

 

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