Things aren't looking pretty, we have here the 4H BTC/USD 0.64% chart. After the failed breakout on 3/5 a bear flag
is shown on the white trend line
(bear pattern 1). This failed breakout created a double top
created between 2/20 and 3/5, highlighted in yellow (Bear pattern 2). It is now forming a symmetric triangle shown in green, a sign of continuation of the bear trend (bear pattern 3). When we failed the breakout we went back into the overall descending channel
shown in pink created from our 20K high a few months ago (Bear pattern 4). Volume
has been decreasing steadily (bear pattern 5). RSI
is around 45, oversold during this consolidation period (bear pattern 6). We have a descending channel
on the MACD
(bear pattern 7), as well as decreasing buy volume
shown circled on the MACD
(Bear pattern 8).
If there is a breakout out of the symmetric triangle, we may be able to reanalyze. If price breaks down hard through the current symmetric triangle as all signs are pointing towards we MAY have some support at 8492 at the .236 retracement level of the recent bearish
swing. After that, we can potentially see some support at 8000, but if we do not bounce back hard from there, unfortunately it could look like we hit the bottom of our descending channel
to the 5-6K range. Please let me know what you think.
Bear pattern 1: Bear flag
created from dip on 3/5, failed breakout.
Bear pattern 2: Double top
created between 2/20 and 3/5
Bear pattern 3: Forming continuing symmetric triangle.
Bear pattern 4: Pierced and staying below descending channel
Bear pattern 5: Decreasing volume
Bear pattern 6: Oversold RSI
Bear pattern 7: Descending channel
Bear pattern 8: Decreasing buy volume