BTC price is still on the "sleep mode" and there are not any clear reversal trade opportunities, that's why we have to look at breakout trades possibilities.
Bullish breakout:
Over the days the price has drawn to us an Ascending Triangle. It is a bullish pattern but still, it is a triangle and there are two breakout possibilities but Ascending Triangle works better if the breakout occurs upwards, let's say - more favorable is a breakout upwards. At the moment, the price has been slightly below the lower trendline but it didn't get that momentum to go instantly lower because of the strong support level around $5,200 and now we are back in the Asc. Triangle, plus, we have a small triangle and we have a tiny breakout from there, this is not so significant but still worth to mention it!
The breakout upwards, which triggers the Ascending Triangle, gets confirmed AFTER the 1H, or even better 4H, candle close above the recent highs (green rectangle). If we get a breakout upwards from the triangle then this could be a sign that we may get another short squeeze to the major target area, to the 24. June low at 2018 which now becomes resistance. There is also the black dotted line which is a channel projection from the triangle bottom trendline (works as a resistance), plus some Fibonacci Extensions matching exactly with this area. So, observe a candle close around the green box but watch out for too high close then please, do not FOMO!
Bearish breakout:
As I mentioned then the price has been below the triangle bottom trendline (higher black line), this makes this trendline a little bit weaker because it could be a bit sloppy, not so precise and around there is recently worked strong support level where the buyers pushing the price back up - around $5,200. So, we have to search for another confirmation area and luckily we don't have to search it too long - $5,120. It is below the lower black trendline (pulled from wicks), below the triangle, below the mentioned strong support and if it reaches into the red area and if it gets a candle close below the blue dotted line then we have made short term LL which is another indication that we have made a confirmed breakout. Bearish and bullish breakouts get confirmed AFTER the 1H or 4H candle close.
Bearish targets are a little bit harder to detect but the short-term major target would be around $4,600, yes, there are some levels around 5k but those support levels depends more from the breakout candle, if it is powerful and full of volume then possibly those don't hold the price but as usual, if the price starting to approach I make updates!
SUMMARY: As said there are no clear directional signs, we have to wait for breakouts and we should act after those BUT keep in mind, this is a Crypto world and this means we might get pretty easily manipulated. One manipulation scenario has been on my mind which makes bearish breakout a little bit vulnerable, the scenario would be: long squeeze downwards, sell panic, short squeeze quickly upwards to the $5,800 and THEN down! :)
So, it is a risky area but hopefully, You get something from here!? Do your own research and add those analyses together to make a good decision!
Please, take a second and support my idea post by hitting the "LIKE", it is my only fee from You!
Have a nice day,
Best regards!
*This information is not a recommendation to buy or sell, it is used for educational purposes only!
Bullish breakout:
Over the days the price has drawn to us an Ascending Triangle. It is a bullish pattern but still, it is a triangle and there are two breakout possibilities but Ascending Triangle works better if the breakout occurs upwards, let's say - more favorable is a breakout upwards. At the moment, the price has been slightly below the lower trendline but it didn't get that momentum to go instantly lower because of the strong support level around $5,200 and now we are back in the Asc. Triangle, plus, we have a small triangle and we have a tiny breakout from there, this is not so significant but still worth to mention it!
The breakout upwards, which triggers the Ascending Triangle, gets confirmed AFTER the 1H, or even better 4H, candle close above the recent highs (green rectangle). If we get a breakout upwards from the triangle then this could be a sign that we may get another short squeeze to the major target area, to the 24. June low at 2018 which now becomes resistance. There is also the black dotted line which is a channel projection from the triangle bottom trendline (works as a resistance), plus some Fibonacci Extensions matching exactly with this area. So, observe a candle close around the green box but watch out for too high close then please, do not FOMO!
Bearish breakout:
As I mentioned then the price has been below the triangle bottom trendline (higher black line), this makes this trendline a little bit weaker because it could be a bit sloppy, not so precise and around there is recently worked strong support level where the buyers pushing the price back up - around $5,200. So, we have to search for another confirmation area and luckily we don't have to search it too long - $5,120. It is below the lower black trendline (pulled from wicks), below the triangle, below the mentioned strong support and if it reaches into the red area and if it gets a candle close below the blue dotted line then we have made short term LL which is another indication that we have made a confirmed breakout. Bearish and bullish breakouts get confirmed AFTER the 1H or 4H candle close.
Bearish targets are a little bit harder to detect but the short-term major target would be around $4,600, yes, there are some levels around 5k but those support levels depends more from the breakout candle, if it is powerful and full of volume then possibly those don't hold the price but as usual, if the price starting to approach I make updates!
SUMMARY: As said there are no clear directional signs, we have to wait for breakouts and we should act after those BUT keep in mind, this is a Crypto world and this means we might get pretty easily manipulated. One manipulation scenario has been on my mind which makes bearish breakout a little bit vulnerable, the scenario would be: long squeeze downwards, sell panic, short squeeze quickly upwards to the $5,800 and THEN down! :)
So, it is a risky area but hopefully, You get something from here!? Do your own research and add those analyses together to make a good decision!
Please, take a second and support my idea post by hitting the "LIKE", it is my only fee from You!
Have a nice day,
Best regards!
*This information is not a recommendation to buy or sell, it is used for educational purposes only!
Comment:
New idea post:
Have a great weekend!
There is the blue dotted line which marks new lower low and the last 1H candle got a close below of it also. This means that the price structure is also changed. We might see a slight correction upwards but overall there are much more bearish signs than bullish so, watch out!