The case for the 0.618 retracement
Another day, another idea - I don't do predictions. Reasons for a bullish bounce around the 0.618 level:
1) We're seeing a downward wedge forming ( typically a bullish signal ), converging with an apex right on the 0.618 retracement level
2) We're seeing a nice textbook Elliot wave: 5 waves up, 3 waves down, with the ABC correction ending at the end of wave 4 level. This is the way Elliot wave theory is taught in textbooks :-)
3) The golden zone between 0.618 and 0.65 is statistically the most probable retracement level.
In my book, the big question it's all coming down to is: does the larger trends impulse fall flat, making is dive to the long trend support (somewhere around 2200 - 2300 sats), or do we have enough bullish sentiment in the cryptosphere to start a larger trend wave 3?
1) We're seeing a downward wedge forming ( typically a bullish signal ), converging with an apex right on the 0.618 retracement level
2) We're seeing a nice textbook Elliot wave: 5 waves up, 3 waves down, with the ABC correction ending at the end of wave 4 level. This is the way Elliot wave theory is taught in textbooks :-)
3) The golden zone between 0.618 and 0.65 is statistically the most probable retracement level.
In my book, the big question it's all coming down to is: does the larger trends impulse fall flat, making is dive to the long trend support (somewhere around 2200 - 2300 sats), or do we have enough bullish sentiment in the cryptosphere to start a larger trend wave 3?
Oh well. Tomorrow will probably shed some more light on wether we go up or down!