In my last post I showed an Intermediate degree “W” wave. Well, We could be in another one. The one main problem I have with counting it as a zigzag pattern is that the A5 and B5 waves are very close to being the same angle. Real zigzags are far more violent and contain far more diagonals wave structures as well, so for now I will bury the idea of a zigzag.
I believe we could be starting another new set of 5 waves down in Intermediate degree, but he only way that can even start to get confirmed is when a new Bitcoin low is reached. In other words Bitcoin patterns have to act the part of an impulse.
Markets have a nasty habit of trashing wave counts and opinions, so when this impending wave count goes off the rails, then most of the wave count has to be instantly trashed. The worst thing we can do is carry garbage wave counts with us into the future. The wave patterns should take a little longer to play out, so we have to have a bit more patience as this bear market starts to get serious.
There are now 1491 Cryptos competing to take money from gullible investors, with the total capitalization back up at about 565 billion US dollars. These numbers shift dramatically and can swing, many billions in just hours. The Gold/Bitcoin ratio is still compressed at 8.5:1 and based on that ratio Bitcoins are extremely cheap. Don’t trust this for Bitcoin use, as we could be facing a new decline, but I will still post the Gold/Bitcoin ratio when I can.
They also have a COT report on Bitcoin futures traders positions, and so far not a single commercial trader has taken a single position in any short or long positions.
This speaks volumes as they show no interest in taking any side. The only traders playing with these futures contracts are the speculators which are net short now as they were in the beginning. Even their numbers will not be any help if Bitcoin prices start to flat line.