close icon

Has Bitcoin run its course?

Since the failure of Mt.Gox, the worlds biggest Bitcoin exchange, the product “virtual currency” has not been seeing any huge gains. Other exchanges like BTCE and BITFINEX also met a huge drop in prices around the 90 US dollars level. Prices remained stable only on the american Bitcoin exchange BITSTAMP, where they dropped only to the 380 US dollars level. Afterwards there was a short recovery followed by a new low around the 350 USD level. Our analysis will continue, using the BITSTAMP exchange as our main chart source. The huge slump  was a signal, that Bitcoin has run its course and its uptrend has finished. Since then we have been bearish on the virtual currency.

bitcoin 1

On the chart below is given our short-term scenario. Investors should prepare for a phony recovery, but this does not mean, that it is time for long positions yet. As you can see, we expect the downtrend to continue in wave ((Y)).

bitcoin 2.jpg
bitcoin

Our last chart is showing the completed big picture impulse on a logarithmic scale and the three-wave correction, which should develop in the near future before Bitcoin starts a new uptrend or completely disappears, maybe replaced by some other virtual currency.

bitcoin 3.jpg
bitcoin 3

Charts by: www.tradingview.com

 



Stay informed with our newsletter

Latest Elliott Wave analysis on different topics delivered to you weekly.

Privacy policy
You may also like:

Bitcoin Is Up 35% Since Christmas. Here is Why

The price of Bitcoin was hovering around $7200 on Christmas, down from $13 880 six months earlier. And while the majority of headlines were all doom and gloom, the cryptocurrency‘s price charts were telling a very different story. Bitcoin was down 48% from its recent top, but that wasn’t the time to join the bears.…

Read More »

Bitcoin ‘s 40% Surge didn’t Come Out of Nowhere

On Thursday, we showed you how Elliott Wave analysis set the stage for a Bitcoin plunge to under $7700 ten days before Mark Zuckerberg’s Libra testimony. The cryptocurrency was barely holding above $7400 at the time of writing and many thought it was prone to decline even further. Since Bitcoin is among our premium instruments,…

Read More »

BTCUSD: Libra Testimony Didn’t Cause the Fall

Facebook’s Mark Zuckerberg testified before Congress on October 23rd about the company’s Libra cryptocurrency project. The hearing didn’t go as smooth as the crypto community hoped, which reflected on the price of digital assets such as Bitcoin. At one point on Wednesday, BTCUSD was down by over $750 for the day. But was Zuckerberg’s Libra…

Read More »

The Bears Rule Over Ethereum Under $225

We last wrote about Ethereum on August 9th. The second largest cryptocurrency had plunged by 42% in less than two months and was hovering around $210. Unfortunately, our Elliott Wave analysis of the decline from $363 pointed to more weakness ahead. See the chart below to refresh your memory. This chart was included in our…

Read More »

Staying Two Weeks Ahead of Bitcoin ‘s Crash to $8000

The price of Bitcoin has been slowly losing ground since late-June when it touched $13 880. The bulls have been relying on the support near $9000 for over two months. They no longer have that luxury. BTCUSD was still gravitating around $10 000 on September 23rd. The next day, it plunged to $7998. While the…

Read More »

Bitcoin Fulfills Yesterday’s Bearish Elliott Wave Setup

The price of Bitcoin plunged sharply on Wednesday and keeps falling early Thursday. BTCUSD reached an intraday high of $10 280, before crashing to as low as $9555 yesterday. Today, the bears are still in charge and managed to drag the price to $9320 so far. To sum it up, Bitcoin lost almost $1000 per…

Read More »

Litecoin Lost 50% in Two Months. Is the Pain Over?

Litecoin, the fifth largest cryptocurrency, lost more than half of its market value in the past two months. Between June 22nd and August 21st, LTCUSD fell from $146 to $70. Since crypto assets have no intrinsic value, investors often compare the current price to its higher level some time ago. This leads them to the…

Read More »

More analyses