25 Jun 2018
Bitcoin dropped below $6000 at the end of last week and the beginning of this week. Will prices rally again? The following 25-26 June Bitcoin price prediction gives useful clues based on Elliott wave theory.
The Crypto currencies dropped last week to continue the long term bearish move. We expected from the past updates, that a bullish move should be seen once price gets to our bearish targets. Our bearish target for Bitcoin was $5800. Since price broke out of a multi-week triangle pattern last week, we had a long term bearish target of $4000 or even $1000. Although our long term target is far below, we expected price to bounce off $5800 and make a corrective rally. how has price behaved since the last update? The chart below was used in the last update.
The chart above shows the channel breakout. With the breakout, we could assume the 4th wave ended at $6800 and the next bearish target is $5800. We will also want to see a familiar motive wave from $6800- wave iv top. If wave v ends as expected and we could identify a technical reversal pattern, we would be expecting a bullish move back to $7000 at least.
Price dropped to 5800 as expected and bounced off it. The fast bounce could be the start of a bigger bullish correction up to $7300. At $7300, price could be retesting the breakout neckline of the triangle pattern. Before $7300, there is $6800 resistance which could also be tested. If the rally is corrective, I expect it to be contained around or below $7300. The market is still bearish but we should expect bullish correction this week. Stay tuned for the next update.
Do you have other views in contrast to the ones listed or you want to compliment them further? let’s know by your comment below.
Don’t forget to share this analysis with people that matter to you.