Here is an exclusive for Moneyshow.com readers. We are decoding the Bitcoin pattern and you can see exactly why it peaked as well why it’s trying to find a low right here, explains Jeff Greenblatt of Lucas Wave International.
Then we’ll look at the intraday Dow futures pattern and see how that is being influenced. The chart shows just about everything you want to know. First of all, we pick up the action on the back end of the last real pullback, which ended in March 2020. That low was 3858. Do you realize the recent peak was 57 weeks up? As you know, I don’t involve myself much with the cryptos, a personal choice. I have my own opinions of it, but I could be wrong. In any event, at 57 weeks up it retraced 57% of the move up to this point right here. As it turns out, May 19 is a 58dg day on the Gann calendar.
Today was the first time I looked at this chart in months. The Kairos methodology allows one to plug in a universal methodology to any chart and understand precisely what is going on. The way things are lining up right now, a potentially serious low could be in place. In a healthy market, it's lining up that way. So here is the warning. If something much larger is developing to the downside, they’ll take this low out.
What Bill Williams taught over 20 years ago is all we can ever have from market intel is new bits of information. What that means is if something this good that jumps off the page is violated, look out below. A violation of this high-quality vibration should lead to much lower pricing. If I were buying this chart, I’d wait until a secondary low forms. I am not in the business of picking tops and bottoms.
In case you noticed, the stock market has been responding lately. Let’s take a look at how this played out in the MYM on Wednesday morning. Let’s break this down. As I said, I don’t recommend buying bottoms, but in this case nobody realized it was the low. In this case, an innocent little low at 143 points down at :42 after the hour (the 43 vibration is most important) turned up and never looked back. This pattern then comes under the influence of the golden spiral as the first retest of the bottom is a 61% retracement. The next high comes in at 161 points up then a smaller 59% retracement.
After that, the pattern started melting up after a 61-minute low, which hit right on the channel line. If you know how to do this, what happens is extremely fast action is slowed down to a point where one can understand and react to navigate in and out of the action. In this case there were four good signals and a couple where you could’ve engaged in case you missed the low. Let’s be clear, this precision isn’t so obvious every day. Some days are better, some not so much but the Kairos is always there. As you can see, we apply the exact same logic on the daily/weekly Bitcoin chart as we do on the one-minute MYM chart. The only difference is on the daily chart we can navigate the Gann calendar.
Many events have materialized the past couple of weeks. This is, after all, still the 80-year war/revolutionary cycle as expressed in The Fourth Turning book. We are not out the woods even as the pipeline is being restored on the East Coast. A brutal war broke out in Israel but looks close to resolution. The winners will be the redevelopment companies who win contracts to rebuild Gaza after the dust clears. The takeaway from all this is the fact the market is keeping an eye on Bitcoin and if the 57 vibration is violated the stock market sell-off is likely to continue.
In one respect we just dodged a bullet in the form of the pipeline hack. Do not be complacent. What we’ve learned from this event is as much as the news promotes a “reopening trade,” all it takes is one black-swan event to spoil a whole barrel of apples. It’s a long year and the long-term cycles point to a hard low in 2022. Another black swan or series of smaller black swans is now the higher probability.
For more information about Jeff Greenblatt, visit Lucaswaveinternational.com.
