Everybody is looking for the sweet spot where Bitcoin will reverse for good and start climbing to higher levels. Ideally in order to have a clear view for that, we better focus at the higher timeframes to get the bigger picture. For now, we are clearly in a bear market and trading it short term is absolutely ok.
Looking at the hourly chart of Bitcoin we may see that price is forming a H&S pattern after bouncing from a key structure resistance level. Selling at the level of the left shoulder at around $6250 with a stoploss above $6350 is a nice idea. As for tp $5780 (previous lows) looks like a realistic level.
Looking at the hourly chart of Bitcoin we may see that price is forming a H&S pattern after bouncing from a key structure resistance level. Selling at the level of the left shoulder at around $6250 with a stoploss above $6350 is a nice idea. As for tp $5780 (previous lows) looks like a realistic level.
Comment:
Another good tell that BTC most likely will drop. While price heading to retest previous resistance and ccomplete the H&S pattern, is developing a bearish flag. In case it doesn't make it to the left shoulder's level, you may also sell after the breakout below the correction (flag)
Trade active:
Price broke below the flag. $5780 is what we aim for
Comment:
Reaching our initial tp $5780 is a matter of time. Instead I have moved my tp to $5560 where I believe price will reach after breaking below the new flag pattern.I will personally add to my initial position after the breakout to make this trade as big as possible. Afterall the more money we can make trading BTC to the down, the more money we will invest to it when it will reverse for good and head to the moon ;)
