Cryptos have rallied again the last few days, but the rally has lacked cowbell. That is indicative of a corrective rally, and leaves the door open for a last wave down to new lows. Here is an Elliott Wave count illustrating that potential outcome.
The blue box would be the ideal target for wave iv, and there is some confluence with the 1.0 and 1.382 extensions of the C wave.
The light blue line at 411.27 is where C of iv has to terminate in order to keep the count valid. But above the box impulsively and we should already consider bottom being in.
So while scalping this C wave up, my plan is to watch the reaction in that box, and then enter a short position if it looks like we're going for the v.
Happy trading!
