A five-wave move above $40k is in play with stops set at $34.4k
A move above $2'658 is in play with stops set at last week's low of $2'531
Last time we said:
‘a move below $32'921 confirming a larger zigzag correction is playing out. Until then we can look for BTC to trade higher and would look for a move higher with confirmation on a move above last week's high. Followed by $41'700’
Once we broke there was a good acceleration higher to $45'302 to complete wave i. Since then we are correcting lower and I think we may still further to test the $37k level.
We would remain long or look to buy around that level with stops now below $34'337. A move above $39'200 will be the first indication that wave ii has ended along with a 5 wave advance above $40'000. A break below would likely put last week's longer term zigzag correction into play.
We said last week:
‘Remain long looking for an acceleration through $2'850 for what should be a sharp move higher in the coming weeks. Alternatively, I would buy a break of that level and place stops below $2'300’
Like BTC, since making the high at $3'038 ETH has sold off in what should be a close to completing wave ii correction. I would look to buy now with stops remaining at $2'300 level.
A move back above $2'658 would be the end of wave (4) and the first indication that a low is in place, with a close above $2'690 confirming this. Remain long and add to long on a move above $2'690, raising stops to the most recent low. A break of $2'300 will put the larger correction discussed 2 weeks ago into play.