BTC drifting sideways here – lets look at some similarities from 2018.

So in 2018 BTC got caught in a very long and unseen before contracting sideways triangular channel. Tops were falling, bottoms slightly rising and BTC became trapped for significant time in a wobbly sideways channel.

And we have some similarities already:-

• High highs and higher lows = contracted price.
• Wobbly sideways channel developing within contracting channel.
• Oscillation ABCDE?

BTC makes very exotic manoeuvres in these advanced corrective phases, but what we can see from 2018 is it led to capitulation. And that is in the textbook because – contracting price is the cause and impulsive breakout is the effect.

And this is where I have a browse around TV and see various buy here sell here strategies but for me this is not a trading area – there are much better trades elsewhere and I really have no idea where BTC will be this time next week other than within the contraction channel.

And I think with hindsight there will be an ABCDE which will reveal an X wave similar to my 2018 count – with a penultimate Y capitulation wave.

That said I do not have any idea how that X wave will take form – I’ll just have my notebook ready.

When the Y wave comes it may be sooner than 2018 or it may drift sideways to the point of boring everyone to tears but I do have a suspicion it will happen in tandem with an index collapse. We’ll see.

Not advice.