Bitcoin has lost about 46% in January so far in a bearish Cryptocurrency month. How far more will the correction continue? Is there an expected technical price for reversal? The following looks at February 2018 Bitcoin price technical prediction.
27 January, AtoZForex - In mid-December 2018, Bitcoin started a wild correction amidst regulation issues, big investors pulling out, security issues and warnings from some regulatory authorities. There were suggestions from some quarters that the idea of Cryptocurrency is a BUBBLE and investors could lose their money. The negativity and some other important factors could have said to amount to the bearish market. Technically, price was meant to drop after a very strong rally.
On 6th December, before the fall started I had predicted the following.
The 3rd minor wave now appear closer to completion than not. Price could rally to $18000-$19000 before this happen. A strong dip to $12000 or below is likely especially if there is a strong break below $16000
The fall started less than a week after, just as predicted. Price dropped to $10500 in just five days after it peaked at $19800. The reason for the prediction was that price completed the 3rd minor wave. A 4th wave correction was expected. However, the depth of the correction and the emerging pattern suggests that price could have suggested a complete five waves upside and probably making an all time wave 2 correction. A $7500 dip was predicted on 18th January
In the last update, the chart below was used.
BTCUSD Elliott wave analysis, H1 (click to zoom)
Price started today with a bit of bullish correction that form a bearish flag pattern. At the breakout below, price is expected to head to $8000 or even below at $5000
The breakout happened but price quickly recovered and appear it would continue in a range move waiting for another negative news event to break further downside. Price behavior on the chart still suggests the dip will continue. What should we expect in February?
February 2018 Bitcoin price technical prediction
BTCUSD Elliott wave analysis, H2 (click to zoom)
It seems price would go into another range-bound move probably between $12500 and $10500. Only a strong break above $13000 could give the bulls any chance. The emerging triangle pattern could continue till end of January waiting for a bearish trigger in February. If this happens, a dip to $5000 is very much likely as suggested in the last update. The second half of February could bring about a relief as price could start a new rally.
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