Bitcoin: Hurst Cycles - 29th August 2022
Bitcoin grinds to an upside target of 24000 before meeting resistance at the 20 week FLD. Price now moves into the anticipated 80 day nominal low, due in the next week or so. We look at the next moves
Tools required: Nominal Model | FLD | FLD Trading Strategy | FLD Trading Strategy (Advanced) | Principle of Nominality | Underlying Trend
Analysis Summary
We speculated in our last report on Bitcoin as to the position of the 20 week nominal component low:
From 26th July Report:
If the 20 week nominal low occurred on the 18th of June, the next move should be more bearish, expecting as it does the 80 day nominal low mid August. Should the next move again test 24000 then it is more likely the 20 week low occurred around the 13th July (as we have it phased here) in both cryptocurrency and equity markets.
Price moved up to test our target of 24000 around the 30th of July and subsequently formed a rounding 80 day nominal component peak, as shown in the time-frequency analysis below. This confirmed our view that the 20 week component low (or at least the 80 day component low) most likely occurred around the 13th of July in Bitcoin and the crypto market in general.
The 54 month FLD, a crucial level for cryptocurrency, looms near, below price around the 13-14k mark and shown on the long term phasing analysis from Sentient Trader below.