We have a large IH&S formation on the inverted BTCUSD chart which is expected to lead to a move to the upside near term but we also know from recent price action that such formations have been invalidated. This brings us down to two scenarios that we should watch out for in the near future to ascertain which way the price might swing next.
Scenario I: The IH&S formation plays out this time and we see a break out of the falling wedge as well as the symmetrical triangle on this chart triggering a major downtrend in BTCUSD and a move towards 6.7k which would subsequently pave the way for lower targets.
Scenario II: The IH&S formation fails to play out as it has in the past and we see a rejection at 8.7k which would push the price towards 10k near term inflicting more pain on retail bears. This would be the final move within the falling wedge after which the probability of a breakout would increase significantly.