Bitcoin hit $11000 the first time since January after completing a corrective phase. What should be expected next? Will price advance further? The following 19-21 February Bitcoin price prediction looks at BTCUSD using Elliott wave theory.
19 February, AtoZForex - About 2 weeks ago, the price was bottoming around $6000 amidst regulation concerns. Technically, it was also believed that the dip was a correction. After a well trendy market moves, it's just a matter of time before a correction sweeps in. In our previous updates, we had forecast a price between $5000-$6000 as the last bearish target before the next big bullish move.
One of the advantages that Elliott wave theory has over other technical methods is its ability to differentiate between a trend and a correction. Trends and corrections appear in form of repeating price patterns. In the last update, we used the chart below.
The chart above shows a double zigzag bearish corrective move breaking below $9200 low. Wave (y) of Y is also a double zigzag and could be as long as X-(w) fall. That is calculated to be in the region of $5000.
The bearish move from the all-time high was projected to end between $5000 and $6000. What happened afterward? Price dropped slightly below $6000 and rally to $11000 as shown in the chart below.
The chart above showed price bouncing off $6000 and rallying to $11000. Where could price be from here? If the long-term rally has resumed, a motive wave is expected to lead the way. Let's look at the Elliott wave make-up of the rally from $6000 in the chart below.
19-21 February Bitcoin price prediction - what next?
The chart above shows an emerging impulse wave rally from $6000. The impulse wave rally is not yet complete. A continuation could lead to price hitting $13000-$14000 before a new 3-wave correction to $8000- $10000 zone. If this cycle completes as expected, we could assume that a rally above $20000 is easily possible. Stay tuned for the next update.
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