Overall, BTC has enjoyed a bearish 24 hours, peaking at $9,900 before correcting downwards. At the time of writing, its price sits at $9,140, up slightly on its trough of $9,070.
Further Slippage?
Bitcoin may have completed its corrective wave, but could still slip a little further downward to the $8,800 mark, in the coming hours. In either case, we can expect it to start the next impulsive bear wave soon, but with the $10,000 psychological barrier on the horizon, it could take a few attempts to make its way back into double figures.
Elliott Wave
The daily chart has perfectly followed Elliott Wave. Wave 1 was the longest with wave 5 coming in as the shortest. Elliott Wave dictates that wave 3 can never be the shortest. While it is most often the longest wave, this doesn't have to be the case. Also, the corrective wave cannot retrace all of the overall impulse wave, and will commonly retrace to the 0.618 or 0.786 Fibonacci retracement levels. BTC actually hit the 0.618 retracement earlier in the day, but that doesn't necessarily mean that it's done, and could slip to the lower 0.786 level at around $8,800 mark.
What Next?
Taking a longer term view, the next impulsive wave should take us to at least the $10,000 mark and possibly beyond, but $10,000 is a massive psychological resistance level so don't expect it to break this level in one go. There could be opportunity for some scalping as BTC hits and fails to break this resistance level, but this kind of trading is not for the faint-hearted or novice investor - it is all too easy to get caught out in the cold.
Where do you think we'll find BTC in 24 hours' time?