FX.co ★ Bitcoin Elliott Wave analysis for 06/02/2019

Bitcoin Elliott Wave analysis for 06/02/2019:

The market is trading just above the support, breakout lower is expected

Market technical overview:

The BTC/USD pair might have just completed the wave B corrective cycle and might be ready to drop lower, first towards the level of $3,385 and then towards the level of $3,223. This wave progression is indicating an unfolding wave C of the overall corrective cycle in wave 2 of the higher degree. The level of $3,223 might not even be the final targe for this cycle, so even more downside can be expected in a case of an extension.

Weekly Pivot Points:

WR3 - $3,711

WR2 - $3,640

WR1- $3,528

Weekly Pivot - $3,456

WS1 - $3,349

WS2 - $3,277

WS3 - $3,168

Trading recommendations:

The market might move down towards the level $3,385 any time now, so only the sell orders should be opened. If the level of $3,385 is violated clearly, the sell-off should accelerate towards the level of $3,277 (WS2 level) and $3,223. Only a sustained breakout above the level of $3,544 would change the outlook to more bullish with the target at $3,640.