Nightly Crypto Report: Short Term Relief or Extension?

We have one thing crystal clear about the action in Bitcoin and Ether today. It is not impulsive. But it is teasing resistance. That's normal, though.  

The entire structure off yesterday's low is corrective. Even if a B wave, the C of that B is a diagonal. Just a bunch of overlap. Now, we've seen many extensions start this way, setup as a diagonal, pullback and go. So, again, I'm watching for extensions, but not chasing, especially with a diagonal. We'll see it fill out and give us a setup prior. That said, I remain long in my core BTC account for now, until the next clear short setup shows, at which time I may go slightly short. 

Note if we fill out a diagonal, we still should see a three wave pullback to get onboard an extension. Alternatively if this twists and turns into a direct new high as a diagonal there will not be, but honestly, that's another dangerous situation as that is what the market tried to do until it fell out of the sky yesterday. 

Bitcoin

Clear overlapping action does not give much confidence in the bullish case. Red shows what a proper, 'trustable' diagonal should look like. Resistance for a normal B wave with this structure is $8715. Note also that this B wave may turn into something more complex that I have pictured here, but this is all I see in structure. 

Ethereum

All I've said about Ether applies here. In this structure, anything but a B wave should take out $276 and the red shows how a diagonal should fill out. 

GBTC

We are skipping along the lower or support at the close but the structure looks open to more downside, so I prefer now to see the red count in play with a move lower into the box. 

ETHBTC 

This one still seems open for higher.