MoneyPatterns
Long

Bump and Run Reversal Bottom?

BITFINEX:BTCUSD   Bitcoin / U.S. Dollar
I see our current BTC pattern as a “Bump and Run Reversal Bottom”. ThePatternSite defines the shape as a frying pan, tilted down, with the handle on the left. It is ranked 1 out of 56 (1 being best).
The Bump and Run Reversal bottom sometimes appears to me as an inverted head and shoulders , which confirms slightly different during confirmation at the end of the pattern. 2nd bump occurs 12% of the time according to PatternSite.
Price under 200MA is like beach-ball being held underwater. The longer and deeper price is held under 200MA, the stronger the upward movement inevitably.


Reasons for Bullish
MACD just crossed to bullish and is very suppressed. Bollinger Bands very tight indicating big move coming. Overall upward trend intact. Possible bear trap not bear flag . Auto-Fib retracement shows upwards targets after retracing over 57%. RSI has bullish divergence .
I will post another chart which shows how GBTC at current price levels is about to touch its 200MA. GBTC only has upwards gaps to fill.

Chart
Pink line (above $8700) - First confirmation to wait for green line confirmation. Coincides with 200MA.
Green line (above $9200) – Final confirmation of pattern, long position initiated. If correct, pattern reaches target 76% of time.
Invalidated - if below Bollinger band (~$8000).
Target- $12,000+

Sources
ThePatternSite – Bump and Run Reversal Bottom ; Head and Shoulders Bottom
Google – Bear Trap, click images, look at second picture (strong uptrend with shakeout).

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