#Bitcoin 4h chart update! 05/31/19 8:12 am EST

Bitcoin has stabilized somewhat after yesterday's drop which so far seems to be in 3 waves. We are kissing the lower boundary of the upward channel and if this count is to survive selling below 7880 is not acceptable. We have no impulsive move of the lows yet so I am skeptical that it will with what looks like a 4th wave triangle developing on smaller time frames. If this ends up being a 5 wave selloff, after a pullback at its own discretion, another 5 wave move lower should develop that can take prices towards 7400 and possibly lower. I will give the trend the benefit of the doubt until proven wrong and stick to the bullish/neutral stance until more data arrives. Correcting lower is completely normal in what should be a larger 4th wave that can take more then a few days to complete. A rally above 8600 should increase confidence that this setback was indeed corrective.