In a strategic move aligned with my earlier predictions, Bitcoin has followed the anticipated trajectory, touching the upper boundary of the Ending Diagonal once more. This upward movement was notably influenced by MicroStrategy’s substantial investment of $600 million in Bitcoin.
Understanding the Ending Diagonal Pattern
From an Elliott Wave perspective, the Ending Diagonal Pattern mirrors the Classical Analysis interpretation of the Rising Wedge Pattern. According to Elliott Wave theory, Bitcoin currently finds itself at the conclusion of the primary wave 3. To finalize this wave, the fifth microwave of the primary wave 3 has taken the form of an Ending Diagonal structure.
Features of the Ending Diagonal Pattern
In my analysis, the Ending Diagonal Pattern adheres to standard characteristics, with Fibonacci ratios aligning seamlessly with this pattern. Additionally, Regular Divergence (RD-) between Consecutive Peaks further supports this interpretation.
Prop Firm Guidance: Anticipating a Correction
I project Bitcoin to commence a descent subsequent to breaching the lower boundary of the Ending Diagonal Pattern and Support lines. The expected drop could extend to the Support zone, ranging from $36,000 to $35,280, or potentially fill the lower CME Gaps.
⚠️Note⚠️: A critical consideration is the potential shift in scenario if BTC successfully breaks the PRZ.
⚠️Note⚠️: Emphasizing the importance of capital management and the avoidance of greed, essential principles for all traders.
Bitcoin Analysis (BTCUSDT), 4-hour time frame ⏰. Ensure prudent risk management with the placement of stop-loss orders for any positions you plan to open.