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$BTC, performing a triangle?

BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
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Key Levels
Short term
Supports -> S1: 9,900 & S2: 9,300
Resistances -> R1: 10,900 & R2: 11,700

Medium/long term
Supports -> S3: 8,800 & S4: 8,000
Resistances -> R3: 12,300 & R4: 13,000

Potential Scenario
Bitcoin has plunged down from $11,500 to $9,500 in barely 48 hours. A decrease of around 20% during the last week.
As we can see in the chart, BTC is making lower maximums, which is a bearish sign. However, the minimums are slightly increasing, which is a bullish indication.
If the price keeps putting pressure on S2, we can see a larger bearish correction. but, if the minimums keep increasing, the trend can reverse.

TA Comment
Bitcoin currently finds itself in the lower band of its channel (orange line) and is probably performing a triangle pattern . During triangles, the price bounces up and down between the range, which gets narrower every time. We can use this lower line of the range to open long positions by using the indicator Percent Change. By setting a percentage, i.e. +1.8%, once the price is near the lower band of the channel, if the price bounces back up, the bot will open a long position automatically.

Pattern
As we have said, the price can be making a triangle and every time the price touches the lower band of this one, the price is very likely to bounce back up. It is possible to spot several hammers once the price hovers around that area.
A hammer is a bullish reversal pattern. It is represented during a downwards trend and as a candle with a long lower wick and short body at the top. Therefore signalling a buy.


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It's already broken the triangle 3 times. It'll break the triangle once again when it corrects to below $9000
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cryptohopper BankofEngland
@BankofEngland, As you can see, it is currently within the limits of the channel. Now, it can break it or bounce on it.
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BankofEngland cryptohopper
@cryptohopper, But it broke the channel July 17th and 29th, so its invalidated
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cryptohopper BankofEngland
@BankofEngland, They are usually called fake breakouts and are interpreted as the demand or supply rejecting the price once it tries to break the triangle/range :)
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I also agree with you and think that this triangle.is coming to a close soon, which will push BTC up to 12k and up. Check out my graph and let me know what you think.

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@VickzinBK, Nice chart!
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Nice Chart "Thanks". Can you please tell me what "Time Frame"...is this a 4H chart? I just followed you keep up the GREAT work "Cheers".
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rockingrye rockingrye
I found it thanks(-:
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#BTC daily analysis
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