Bitcoin Confirming Major Peak; 2022 Plunge Below 30,000/BT Projected!
01/12/22 Weekly Re-Lay Alert – “The Dollar Index continues to correct since peaking in late-Nov. It turned its daily trend down. On the heels of December’s Intra-month Inverted V Reversal lower (low at start of month, high at mid-month, lower low at month-end), the Dollar projected a likely drop to ~94.30/DXH (Jan ’22 monthly HLS) or lower.
That is also a key level of range-trading support (and resistance turned into support) – the levels where the Dollar peaked in 4Q ’20, before its final sell-off into early-2021, and where it initially peaked in Sept & Oct ’21 – before breaking out higher. That is also where the Jan ‘22 monthly 21 High MAC now stands.
It is also where a range-trading target formed after the Dollar spent ~7 weeks trading between 95.50 – 96.75/DXH. The close below 95.50/DXH projected a drop to ~94.25/DXH – an equidistant range to the downside.
That is also a key level of resistance turned into support where the Dollar continually topped for 6 weeks in late-Sept – early-Nov ’21 (with the highest weekly close at 94.25/DXH) before breaking out to the upside.
The rising weekly 21 Low MAC should be near that level next week (it is currently around 94.07/DXH). And, it is just below where the Jan ‘22 monthly 21 High MAC now stands (~94.50/DXH)…
Bitcoin retested its 2 – 3 month downside objective (40,000 – 42,000/BT) – where a multi-week low has been forecast. On a 6 – 12 month basis, that is a ‘4th wave of lesser degree’ (the low immediately preceding the final rally) – the primary support for this correction.
Bitcoin bottomed while fulfilling/perpetuating a ~2-month/~60-degree high-high-(low) Cycle Progression and a 16 – 18 week low-low-low-(low) Cycle Progression that has governed it since Jan ’21…
While this recent sell-off fulfilled one level of correction, Bitcoin could ultimately make it down to 35 – 36,000/BT and then to 29 – 30,000/BT – downside targets for higher magnitude corrections. That is due to the multiple levels of ‘5th’ waves that were fulfilled at its high in Nov ’21.
The lower of those two targets is where the ‘4th wave of lesser degree’ – for the entire ~3-year uptrend (from the Dec ’18 low) – is positioned. A 15-month low (9/17) – low (12/18) – low (3/20) – low (6/21) Cycle Progression recurs in Sept ‘22 and could time the next major low.
Just as Bitcoin could see a series of price lows in 2022, weekly cycles are hinting at the same thing… Bitcoin could see a subsequent low in May ’22 and then in Sept ’22…”
Bitcoin, in Nov ’21, fulfilled what its monthly and weekly trend indicators projected and what its overall wave structure necessitated – a surge to new all-time highs (~66,000+/BT) ushering in a major top in late-Oct/early-Nov ‘21. That also fulfilled the multi-year outlook for a major advance into 2021 when Currency War Cycles culminated.
Since then, Bitcoin has been on track for an initial plunge to 40,000 – 42,000 (ideally in 2021) and an overall plummet to 29,000 – 30,000/BT – its most decisive level of monthly support. Bitcoin’s unfolding sell-off is powerfully corroborating the outlook for 2022!
What does this mean for the future of cryptos? What if Bitcoin Drops below 29,000/BT??
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.