Hello all and good afternoon to everyone!
In previous updates we discussed this pattern playing out and seems to be heading towards the neckline at $10,500. Fundamentally BTC sentiment could be reaching a major high point that could very well push it over the edge in a bad way - at least short term. This would however be ideal for swing traders trying to increase position size on a major retrace. When/ IF BTC does get rejected at the $10,500 resistance we would look for the 0.618 retrace which is EXACTLY at the level of the potential left shoulder. The pattern would be extremely lucrative to play with a target at or near $17,000. As the majority are calling for breakouts and ATH moves in the immediate future, they will be quick to change their views and write obituaries at or near $6,500.
Here is the 4H chart showing the suspected play towards that important neckline.
Another thing to consider which i have spoken about in depth in prior updates is the descending broadening wedge. This pattern usually has what is called a "partial decline" before fulfilling is prospected breakout and measured move. A partial decline is a move down away from the resistance back towards the support line of the pattern, only to stop mid way - or partially - before regaining the lost ground and pushing up through the resistance. These two patterns seems to be working in tandem here.
Nothing here is financial advice. This is only my opinion.
In previous updates we discussed this pattern playing out and seems to be heading towards the neckline at $10,500. Fundamentally BTC sentiment could be reaching a major high point that could very well push it over the edge in a bad way - at least short term. This would however be ideal for swing traders trying to increase position size on a major retrace. When/ IF BTC does get rejected at the $10,500 resistance we would look for the 0.618 retrace which is EXACTLY at the level of the potential left shoulder. The pattern would be extremely lucrative to play with a target at or near $17,000. As the majority are calling for breakouts and ATH moves in the immediate future, they will be quick to change their views and write obituaries at or near $6,500.
Here is the 4H chart showing the suspected play towards that important neckline.
Another thing to consider which i have spoken about in depth in prior updates is the descending broadening wedge. This pattern usually has what is called a "partial decline" before fulfilling is prospected breakout and measured move. A partial decline is a move down away from the resistance back towards the support line of the pattern, only to stop mid way - or partially - before regaining the lost ground and pushing up through the resistance. These two patterns seems to be working in tandem here.
Nothing here is financial advice. This is only my opinion.