My previous updates have been quite short, and less than sensational, but as we approach the apex of this descending triangle, and price action continues to consolidate, expect volatility to continue to remain subdued. Both sides, long and short, are anticipating a big move in either direction. Though the chart appears to be setting up for an explosive move, I would caution against trying to make a preemptive trade, as we may never get the explosive break of trend, or crash through support that most traders are calling for.
At this point we have a mini bear trap in place from the flash low on 10/11/18 relative to a series of lows in September. So the bulls have some hope for now. I wouldn’t be worried if this level fails, as there is still nearby support lower at 5900 (8/14/18), and the last bastion of hope, the key pivot low at 5777 (6/24/18).
Price action may remain mild and laterally range bound through mid/late November, which may lead to an inevitable break of the primary trend resistance, but in a less explosive fashion (a break of trend due to time rather than volume on higher prices).
The final word: do not anticipate a chart to play out in any particular order because of the underlying structure. Yes, we are setting up for a break of trend and it looks to be a very orderly descending triangle, but, without a confirmatory move in either direction, this could take on a very unique and unexpected trajectory.
At this point we have a mini bear trap in place from the flash low on 10/11/18 relative to a series of lows in September. So the bulls have some hope for now. I wouldn’t be worried if this level fails, as there is still nearby support lower at 5900 (8/14/18), and the last bastion of hope, the key pivot low at 5777 (6/24/18).
Price action may remain mild and laterally range bound through mid/late November, which may lead to an inevitable break of the primary trend resistance, but in a less explosive fashion (a break of trend due to time rather than volume on higher prices).
The final word: do not anticipate a chart to play out in any particular order because of the underlying structure. Yes, we are setting up for a break of trend and it looks to be a very orderly descending triangle, but, without a confirmatory move in either direction, this could take on a very unique and unexpected trajectory.
Comment:
Update: No change from my previous notes. As I mentioned, we're experiencing subdued volatility and low volume as this pattern continues to drag out. Keeping a watchful eye on this chart
Comment:
Recent events reaffirm my point from previous updates. Do not anticipate a change in trend. Confirmation is king.
Regarding BTC's current price action. Things are looking quite bearish. Ideally, the bulls will want to see reclamation of the previous failed support level near 5700.
Regarding BTC's current price action. Things are looking quite bearish. Ideally, the bulls will want to see reclamation of the previous failed support level near 5700.