February 22, 2024

BTCUSD: Libra hearing was not the cause of the fall

Facebook's Mark Zuckerberg testified before Congress on October 23 about the Libra cryptocurrency project. Hearingnot as smooth as hopedcrypto communities, which affected the price of digital assets such as Bitcoin. One Wednesday, BTCUSD fell more than $ 750 a day. But was Libra Zuckerberg's testimony a real reason for the fall of Bitcoin? As analysts of the Elliott Waves, we believe that the news is striking only for those who are not aware of a larger trend. In the case of BTCUSD, a big trend was heading south when we sent the next schedule to subscribers on October 9th.
BTCUSD: Libra hearing was not the cause of the fall
Two full weeks before Zuckerberg's hearingIn Congress, BTCUSD fluctuated around $8,150. Since the price was trading sideways for some time, we thought that a correction was occurring in the fourth wave. It makes sense to expect more strength in wave y to a new local high before the bears return in wave 5. We thought a reversal would occur in the price area between $8,500 and $9,000. However, the exact level was unknown and choosing the tops was not worth the risk. Therefore, it was better to wait for the bears to announce their return before going short. By the time we sent our next update on October 13th, they were already back.BTCUSD: Libra hearing was not the cause of the fall
What we thought was a three-wavesequence in the wave "y" turned out to be a five-wave impulse in the wave "c". This, however, did not change the overall outlook at all. With the bearish reversal already at $ 8820, it's time for more weakness to a new low. Wave 5 was supposed to break through the bottom of wave 3, which meant a decrease to at least $ 7,700. Ten days before Mark Zuckerberg went to Congress to testify about Libra on Facebook, the Elliott Wave installation was ready for another drop in BTCUSD.BTCUSD: Libra hearing was not the cause of the fall
So far, Facebook CEO has been responding toquestions from lawmakers, the largest cryptocurrency has fallen to an intraday low of $ 7,293. The question is, did BTCUSD grow if congressmen were more susceptible to Libra? Hard to say. All we know is that there was an incomplete Elliott Wave pattern on Bitcoin's hourly chart. It looks much closer to completion now.

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