We have been pretty quiet at Purple Crypto Premium over October, and that’s only because there hasn’t been much to report.

With Bitcoin’s sideways movement that has been in play since June 2019, our goal has solely been to use its movement to enable setups with other well-performing cryptos. This still stands and here’s why.

In this analysis, we present an alternative “upside down” view to BTC’s movements.

Often times, we find it handy to flip a chart or “invert it”. The chart above has been inverted, along with the indicators. Drawing out a theoretical Elliott Wave, we assume a 5 subwave “inverted downtrend” occurring, i.e. the “surperwave structure”, since the inception of Bitcoin.

Drawing on from this and using our indicators, we theorise that the final subwave 5 of the superwave structure is being further subdivided into minor cycles, making an extended subwave 5 “inverted downtrend” (in black). This is very typical of subwave 5 structures that are coming to an end. Hypothetically, we could assume, based on this wave analysis, that there is distribution and not accummulation occurring.

Often times, the final subwaves of the final subwaves (of the final subwaves 🙂 ) become hyperextended, making it almost impossible to decipher where the cycle is at, which is what we can see this year.

If this hypothetical analysis turns out to be true, we should see BTC moving “down” further (or uptrending on an uninverted chart). Sure it may be a good medium term hold to possibly double your money. For us it will only be a good entry if we can comfortably get in at around the $3000 mark. If this movement to $3000 doesn’t eventuate, the final extensions could go on for months to years from here as institutional investors accummulate here and distribute a little higher. This isn’t the ideal sort of setup for us at Purple Crypto Premium and we are more than happy to wait for an ideal time to HODL.

It is this perspective we use to create our setups, drilling down to the minutest wave analysis and timing our plays for the best outcomes. 

So while it may seem like we ain’t doin’ much, we’ve got our eyes on the crypto Gods like hawks. :::)

Update 13 February 2021

Possible play close target at 53,000.

Update 3 May 2021

This Premium idea would be best closed now. 

Suggested final play close target – 59,000-62,000.

Watch this analysis, along with Elon Musks’s interview with Vanity Fair about Bitcoin, and an analysis on Dogecoin’s potential movements.