Bitcoin Update – Island Reversal

last post on the Coin: https://bartscharts.com/2021/04/13/bitcoin-update/

our last post on Bitcoin ID’d multiple patterns … multiple AB=CD, a 3 drives and a butterfly sell all in the 65-68 area. in my original post I just took a look at the chart “real time” and said 66-67 but did some work on the intraday charts and 65-68 is the zone. honestly, I wasn’t worried about being too precise because I’m generally looking for this wave to end and 4th wave correction to occur so i can BUY again. right now, I’m going to say that based on the gap down today, that we have a Wave 3 complete and are correcting in Wave 4. again, there are targets a little higher but I’m not going to worry about that now as it appears that this gap down has things going in the 4th wave correction direction.

also, note on the 60 minute chart, that we can certainly label this an island reversal and – if that is the case – then we can expect lower over the coming days and weeks.

now, am I screaming the top is in w/ the Coin? absolutely not … I’m looking to BUY again but found that the risk of continuing w/ my position outweighed the downside. now the hardest part – trying to get in a moving market. that part, for now, is TBD.

target zone has been hit w/ a reactionary sell off – calling 3 complete for now

note the gap down tonight validates a “bearish Island Reversal” which forecasts coming lower prices for the Coin.

the Coin … update time

while we came close to our upper targets, we never actually hit them but based on this price action I’m going to assume that we have a near term top in place for a much needed correction to relieve the steam.

this is very preliminary but I’m using the past to project into the future .. using the past “percentage” and “price” corrections (dashed red and orange arrows respectively) I’m projection DOWN into logical support areas simply because that is what worked last time …

additionally, I put a “basic” retracement grid from the ATL to the ATH. some nice synergies appearing.

once all that was done I drew some “basic” trend channels (light blue and red lines) and those can always act as support based on polarity …

plus a couple “two tree” (slang from the Navy) gaps were left on the way up so they will also act as support.

now?

we wait … wait for the form, balance and proportion to signify that this correction is complete. the last one was almost 9 months long.

I’ll be monitoring, closely.