Bitcoin (BTC) has been correcting for nearly a year, more specifically afterward the April 14, 2021, high. It is likely which this correction has now come to an end.

Long-term Bitcoin (BTC) correction

BTC began a lengthy-term five wave ascending shift in Dec 2018 (white). The most expected rundown suggests which wave three was concluded on April 11 and BTC has been correction within wave four afterward. 

Due to the cback whilept of alternation, waves two and four should be divergent in either length of time or cost. Since the waves have such length of time (263 and 281 days), it would make sense for them to differ in their retracement levels. 

Wave two was deep, spreading to the 0.86 Fib retracement level (white). With this in mind, it would make sense for wave four to be shallower, ending at the 0.5 Fib retracement level (black), that has already been captured.

BTC Long-term count

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Cryptocurrency trader @24kCrypto posted a BTC chart, in that the cost is completing a lengthy-term fourth wave triangle. He also indicated that the RSI has given a bullish signal that previously occurred during the March 2020 bottom.

BTC Count

Source: Twitter

While it does seem that BTC is in a prolonged-term wave four, there likewise seem to be several expected legit sub-wave counts.

The three most expected counts are presented in the image below.

The sharp correction (black) would suggest that another low is in store. The sideways correction (yellow) suggests that the low is in, but BTC will continue convalidating, at the same time the red path suggests that the bottom is in. 

Below, these three counts will be analyzed one by one in order to decide that is the most inclined. For our previous wave count analysis, click here.

BTC Various counts

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Sharp correction

The most bearish probability is that BTC is in an irregular flat correction. This would mean that waves A:C would have a 1:1.61 ratio, leading to an eventual low of $12,345. 

The sub-wave count is given in black, suggesting that BTC is in sub-wave three. In this opportunity, it would break down from the channel, verify it as resistance before resuming its descending progress.

BTC Sharp correction

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Also, this would not align well with the previously discussed cone time beforept of alternation, afterward waves two and four would be very similar in length of retracement, both tumbling to the 0.85 Fib retracement support level.

Finally, a low of $12,346 would break the wave one strong (red line), hence rendering this an inlegit correction based on EW theory.

Long-term correction

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Sideways correction

The neutral probability suggests that BTC is fixed in a fourth wave triangle.

In this outline, BTC would increase towards $55,250, the 0.618 Fib retracement resistance level before decreasing atop again. The entire shift would complete a symmetrical triangle, from that an eventual breakout would be expected. 

Besides the matter that the correction could extend for nearly 400 days, this likeliness does not break any EW rules.

Triangle correction

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Correction is complete

The final and most inclined likeliness suggests that BTC has finished its protracted-term wave four within the current surging suchlike channel. In it, waves A:C have had an exactly 1:1 ratio, that is the most common one in parallel corrections.

This would effectively complete a running flat correction.

Running flat
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The main issue with this count is the limited movementment. Since the Jan 24 low, the ensuing jump does resemble a three wave structure more than a five wave one.

This could either mean which BTC will make a slightly lower low near $34,000 but back although again respect the channel, or that the previously scenariod triangle opportunity will play out. 

The interim progressment atop the next few days will be essential in determining that of these possibilities will transpire.

Short-term progress

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For CryptCraze’s latest BTC analysis, click here

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