Blocksmith Says: BTC Stalks New Low, Reversal

We’re looking at Bitcoin at the 240-minute level today. Price has swept down impulsively from the 15 August top of US$25,203. “Impulsive” as you might remember from the Elliott Wave study notes means swift and non-overlapping. This is the character we would expect of a final move down.

We are still in the 40-day cycle trough zone and note that a minor cycle trough zone is also being signalled. There is key support just below US$19,000 and this is likely acting as a liquidity magnet at the moment.

You will also see that MACD has been rising just below the zero line as price has been falling pointing to a deceleration – a precondition for an inflection higher. Still stalking a near-term low and a reversal higher.