Bitcoin has continued the recovery to stay steady above the $7,000 mark. Will there be a bearish correction soon?
May 13, 2019|AtoZMarkets-Bitcoin has continued its market dominance in May. After the market capitalization increased by almost 25% to hit $125 billion, the digital currency now controls 59% of the entire market share. This weekend saw a big surge above $7,500 to complete over 140% gain since BTC last bottom at 3100. The price has now surged into the pre-November 2018 bearish breakout and will look forward to hitting new price levels at $8,500, $10,000 and $12,000 on its way probably to a new all-time high
The entire crypto market capitalization has now surged above $200 million for the first time in the last 6 months. In contrast, at the beginning of the year, total market capitalization was $133 billion. This means that $85 billion has been to the market values. The Bitcoin effect is seen on other altcoins especially the majors. Ethereum hit $200 for the first time in 6 months. Bitcoin Cash, Litecoin and EOS have surged to $200, $370 and $5.5 respectively. Meanwhile, the top gainer in the last 24 hours (at the time of writing) is the Binance coin (BNB). Recently, the exchange was hacked and over $40 million worth of Bitcoin was stolen. While price dropped quickly, BNB has recovered over 10% in the last 24 hours after retesting its all-time high prior to the attack. What are the new price levels to expect for Bitcoin? Will there be deep pullback?
Bitcoin Elliott wave analysis and important price levels
In the last update, we continued the bullish impulse wave from 3100 low. The chart below was used and it shows the 3rd wave in progress.
Price entered into the 6000-6800 territory and spiked above $7,500 as the new chart below shows.
The price might find resistance at the current price levels to end the 3rd wave. If it is well resisted, a 4th wave dip to retest $6,000 is very much likely before the 5th wave continues to $8,500 or into the $10,000 – $12,000 territory.