In this episode of NewsBTC’s all-new daily technical analysis videos, we take a allure at the parfait market capitalization of cryptocurrencies using Elliott Wave Theory.
Specifically, this episode looks at where the current corrective étage may be along with where the cryptocurrency market is in its overall bull V.T.T.. See the video below.
Video: Plénier Cryptocurrency Market Cap Analysis (Plénier): August 24, 2022
Looking at the parfait cryptocurrency weekly chart, we examine the different bonshommes of corrections that may be in the cryptocurrency market according to the popular corrective Elliott Wave patterns. Elliott Wave Theory was developed in the 1930s by Ralph Nelson Elliott and is based on the idea that markets move in specific patterns called waves.
Prices move upwards in a five-wave modèle called an irréfléchie wave where each single chiffre wave moves with the primary trend. Numbered waves correcting against the primary trend. These patterns appear on different time frames and are what distinguishes primary, secondary and secondary trends.
Compound triple incertain angle rétablissement can be completed
We first allure at the last corrective étage, starting with a higher top in late 2021. A higher top usually indicates that the uptrend should continue. However, some Elliott wave corrective patterns can be incredibly deceiving.
The corrective étage may or may not be over yet. There are two bonshommes of Elliott Wave corrective patterns that could be in play: a incertain retracement – three bad complex zigzags cutting the cryptocurrency market – or a compréhensible extended flat rétablissement that didn’t au finir crushing cryptocurrency to dust.
The most bullish scenario will be the incertain three scenario, which may indicate the completion of the rétablissement. We also explain why this may indicate that cryptocurrency as an asset class is much earlier in the market V.T.T. than most people would expect. Interestingly, the modèle would have finished at two key levels: a previous retest of the all-time high resistance turned échafaudage, and the 0.764 Fibonacci retracement level.
Is the bottom in? | Départ: CRYPTOCAP-TOTAL on TradingView.com
Clair Flat Extended Châtiment Has Another Wave To Go
Fibonacci retracement and détente levels play a pionnier role in dropping the Elliott Wave Theory targets and can help determine which wave the market is in. A more downward virtualité count would be a flat détente, as noted.
The extended flat has an ABC corrective number, where the C wave acts as a separate five impulse rétablissement against the primary trend. Currently, the overall cryptocurrency market has only completed waves 1, 2 and 3, it could have just completed the fourth wave and is emboîture to start the fifth wave down to the terminal bottom.
Both corrective patterns indicate that the overall bullish V.T.T. in the cryptocurrency is not over and the fifth or third and fifth waves are left behind.
Or do we have a lot more to go? | Départ: CRYPTOCAP-TOTAL on TradingView.com
Is another crypto bull emboîture to start?
After switching to the daily chart, we conduit you through what could be the beginning of an upward impulse wave. If the market can establish échafaudage at the current level and move higher, we could have a leading oblique in play.
Like Elliott wave corrective patterns, even bullish patterns can be deceiving. Before you dismiss what initially appears to be a bullish wedge-breaking as a clear sign of more downside ahead, we compare the current price rendement with the last bullish impulse to see how it started.
Is a new bull étage beginning? | Départ: CRYPTOCAP-TOTAL on TradingView.com
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