Bitcoin
The break of $18'400 has put the bullish long term view back into play and we are now looking in the long term for cryptos in the longer term to start the wave 5 higher in the coming months to new highs.
The break above the $18'400 December high saw an acceleration to the topside confirming that wave (3) is underway. Use any corrections into the $18'500 – $19'200 area to buy BTC. Place stops now at $16'650 but I do not expect to see that level.
We have made a new high this morning and broken out of the channel so minimum targets have been met but I think this is too short so look to remain or get long.
Ethereum
Last time I said:
'Whilst below $1'352 we remain bearish and a move higher will put a more bullish view into play'
So like BTC we have turned bullish and will look for a pull back to get long and buy Ethereum. It could be that wave (4) is underway as the form of a triangle.
Use any pullbacks into the $1'460/$1'400 area which not only coincides with the 50% retracement level and the bottom of the channel but also the area of the previous wave 4. Stops can now be raised on longs to the wave 2 low as we look for Ethereum to rally over the next several months.
