Bitcoin continues the bullish recovery above $6500. What should we expect next? The following 5-6 July Bitcoin price prediction looks at BTCUSD technical forecast based on Elliott wave theory.
After a very bearish month of MAY, this month has been bullish so far for the Cryptos. At the end of MAY, BTC formed a double bottom just around $5700. Shortly afterwards, it rallied fast to $6700 – gaining $1000 in less than a week. In the last update , we expected the rally to continue to $7300. We also wanted to note whether the expected rally would be impulsive or corrective. If corrective, the rally should be limited below $7300 but if motive/impulsive, we should see price above $7300 into the territory of the April-May triangle pattern. How has price responded since the last update? Before we look at the new update, let’s review the last update where the chart below was used.
Price is expected to break above the $6800 resistance and up to $7300. Like it was said earlier, how far price would move depends on what structure it paints. If corrective, we should see the rally continue to $7300 or its neighborhood before dropping further below $5800. If impulsive, we should see price in the territory of the triangle though a little drop could happen before that. At this moment, price is bullish but it’s not yet certain that the long term bearish move is complete.
5-6 July Bitcoin price prediction: what next?
The chart above shows a leading diagonal at $6800 resistance price level. The diagonal could be wave 1 (circled) of an impulse wave drive or wave a of a bullish correction. The two scenarios are painting same picture in the short term. Price is expected to dip to around $6200 or thereabout and then rally above $7000. Whatever that happens afterwards will determine which of the scenarios would be more appropriate. A sudden move below $5800 will make this forecast invalid and send price toward $5000. Stay tuned for the next update.
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