The break to new lows creates chaos across the charts. This is panic selling territory for those who were sure the bottom was in the Crypto Markets. Bitcoin broke a key technical level at $10,767 and has not looked back. Large selling on news that India has announced a clamp down on all Cryptocurrencies in a continuation move to their disastrous anti-corruption monetary policies of 2016.
News:
India To Eliminate Cryptocurrency Use:
https://www.zerohedge.com/news/2018-02-01/india-officially-declares-bitcoin-not-legal-tender-or-coin
Bitcoin Below $9k Level:
https://www.zerohedge.com/news/2018-02-01/bitcoin-crashes-below-9000-lowest-thanksgiving
The break to new lows for Bitcoin invalidated the previous Wave count. The new drop lower setups up a target for the new low at $4k area. It is not for sure we will get there but panic selling might just take over this market. On the bright side, we hope it gets down that low because that is a bargain at that price.
Ethereum has to hold this low in order for the Teal 1-2 Wave to remain valid. The only way for this to work is to see a rotation whereby BTC sells off and ETH catches the bid from the panic selling, therefore we would see BTC and ETH trade inverse to one another much in the same way that Dollar and Gold tend to trade inversely.
