At the time of writing this, we’ve just seen BTC break the $10,000 mark…then $11,000! The overshoot here can be attributed to new money continuing to flood into the market and experiencing FOMO (Fear of missing out) and keeping the upward movement going. This explains the flash crash occurring later in the day (yes, this all happened in one day…welcome to crypto!) as the market became oversold.
Despite this flash crash we are keeping with the current trend line as we look to complete the final wave (wave 5) in our Elliott impulse wave pattern. This should see Bitcoin move up to around $14,500 by the new year absolutely smashing our previous prediction of $13,800 by February.
From this point, expect to see an A-B-C correction in Bitcoin (and the market overall). There should be opportunities to buy the first dip and sell near previous highs, followed by a nice accumulation point coming into Spring of 2018.
Prepare yourself mentally for this correction. There is always fear in crypto markets and it becomes significantly stronger in downtrend and correctional periods. Again, I will tell you to stick to your plan and execute as necessary. Once this new market cycle begins, we should see significantly higher prices as we move through 2018, so this predicted correction is a fantastic buying opportunity.