A rollercoaster ride, BTC's three-day thriller! How many mysteries still lie on the bull market's path?
Market Review
Hello everyone, on the evening of October 20th, I posted a reminder that Bitcoin was forming a wedge pattern here. The next day, the price surged to a high of 69.5K, completing the fifth sub-wave of the wedge. After the wedge was completed, starting from October 21st, the price plummeted rapidly within just three days, with an ABC zigzag correction directly hitting 65.2K. In summary, Bitcoin's recent decline has perfectly followed a standard ABC pattern, as precise as a well-scripted drama.
As promised, here’s a chart～
Detailed Explanation of ABC Correction
Here, Wave A was a smooth and decisive drop, followed by Wave B, which surprisingly played out as a WXY complex sideways movement—leaving bulls itching to act and bears hesitant to move. Indeed, Wave B’s confusing maneuvers are its "innate skill," but no matter how deceptive, it’s ultimately a "paper tiger." After Wave B ended, Wave C decisively pushed the price down to 65.2K, perfectly completing this ABC decline. Bitcoin dropped over $4,000 in total, allowing those who sold at the wedge’s peak to successfully avoid a significant pullback.
Is the Correction Over?
Currently, there are signs that the market may continue to correct. Although it has touched 65.2K, the "god of corrections" is always a bit fickle. As mentioned a couple of nights ago, this correction could either be the entirety or just the first segment of a larger correction. The minimal retracement for the current pullback has been met, but that doesn’t mean the decline is entirely over. It’s best to wait and observe before making decisions.
The "Lifeline" Check
Let me reiterate the key "lifeline": 61.9K. As long as Bitcoin holds above this level, the uptrend from 59K remains intact. If it fails to hold, the hope for this impulse wave may vanish. So, everyone, remember: 61.9K is our "beacon." If Bitcoin challenges the lifeline again, we’ll need to consider the possibility of a larger correction.
Trading Strategy Suggestions
In summary, being bearish isn’t easy at this stage, and shorting is even less advisable—going short in a bull market is often asking for trouble. However, during corrections, there’s still profit potential by targeting key support levels. Just remember: manage risk, stay flexible, and don’t dive in headfirst. The market is ever-changing, so staying calm is the key to surviving the "bull-bear battle" unscathed!
That’s the recent "diagnostic report" for Bitcoin. Stay tuned for updates.
$Strategy(MSTR.US) $Coinbase(COIN.US)
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