Bitcoin - The Calm Before the Storm (Not Bearish as it May Seem)
Volume has steadily been decreasing along with a volatility as seen in the chart. This is a classic pattern prior to a breakout. T
I know a lot of people were looking at the weekly triangle or equilibrium pattern drawn from the peak in early March including myself. And to say the least the bounce that we expected around the 7k has been rather unimpressive and with the dump today, we are less than 5% away from the pattern breaking out bearish on the weekly.
But here I outline another perspective. If we draw our trendline from the peak in December rather than March, we can see that the dump today is nearly a perfect rejection from the trendline. If we can hold this current level, a probability of a bull break is just as likely as a bear break. And given how tight this range is, we can expect the break within a week.
At this point, I am neutral in terms of price direction, but I expect fireworks and I am expecting it soon.
I know a lot of people were looking at the weekly triangle or equilibrium pattern drawn from the peak in early March including myself. And to say the least the bounce that we expected around the 7k has been rather unimpressive and with the dump today, we are less than 5% away from the pattern breaking out bearish on the weekly.
But here I outline another perspective. If we draw our trendline from the peak in December rather than March, we can see that the dump today is nearly a perfect rejection from the trendline. If we can hold this current level, a probability of a bull break is just as likely as a bear break. And given how tight this range is, we can expect the break within a week.
At this point, I am neutral in terms of price direction, but I expect fireworks and I am expecting it soon.