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Weekend target of 56k possible for an ABC correction for COINBASE:BTCUSD by WITSIT

There looks to be a high possibility that bitcoin is currently in an ABC correction coming down from the current ATH .

As shown, A ended at ~59.5k with a 5 wave correction down and now we are an ABC correction (shown in green) for a larger B correction up.

I think from here bitcoin will fall back to the 61k region with a bounce to 64k to complete the B wave.

Note: A break of 59.5k would invalidate this and we would have to say Wave C down has begun with Wave B ending at 63.7k and have to find new potential targets and Wave counts.

Then after, 5 waves down to complete the C wave which shown by an estimation of a 1 to 1 retrace puts it near 56.5k.

As to the timing I use parabolic curves (I have found to be good at finding reversals) for the B wave ending on the 4H chart:

For the ending C wave:

This also suggests that it may drop to around 56k as there is a strong potential for support here as shown by the green horizontal line drawn in.

I would say most likely a bounce will happen in this area as long as it follows this path.

There currently is hidden bullish divergence on the 4H RSI which I believe to be playing out now and also a hidden bull is showing on the daily.

I believe for the daily RSI though there is potential to be a stronger hidden bull that will occur following this ABC correction

Yellow – Current Hidden Bullish Divergence

Green – Potential Hidden Bullish Divergence at the end of Wave C

To invalidate this being an ABC correction, or to say it already completed, it will need to break the current ATH , then I will need to reassess as to where the new target may be.

As to what this means overall for bitcoin I will wait and see as to what happens next.

If this is a B wave we’re currently in I will like to see where it ends first. After that it would be more accurate to figure out where Wave C would end and then determine what count we are starting on the larger time frames (Weekly and up).

I will post more ideas to this and more about the idea of still seeing a new ATH in the near future and what the potential target(s) may be.

***Disclaimer: I am not a financial professional/expert and all ideas from me are all speculation based off of my own research. Please do your own research as well as I am not responsible for others when it comes to their financial decisions.***

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