Triple Trouble for Bitcoin - H&S+Bear Flag+Diamond Formations
To add to my Double Trouble analysis, we are now seeing a Diamond Formation with the latest PA.
The diamond formation is a signal for reversal of the uptrend. I am expecting further lows to create meaningful divergence before the halving run to the moon. Now the question is how low will it go? Check out my analysis on the eerie similarities with the current situation with the dump a month ago, to get an idea how low we can potentially go.
- Measured move of Bear Flag is now 4226
- 4H/Daily shows a bigger Diamond formation from the previous 10.5k high
The diamond formation is a signal for reversal of the uptrend. I am expecting further lows to create meaningful divergence before the halving run to the moon. Now the question is how low will it go? Check out my analysis on the eerie similarities with the current situation with the dump a month ago, to get an idea how low we can potentially go.
Comment:
Here is the Diamond Formation on the daily. A little scary when looking at this scale, considering how low it could go.
Comment:
The more I look at this, the more I think the Diamond Top is invalid. Normally the PA for a Diamond Top pattern should rise into the diamond. But, the reason I was thinking this as a Diamond Top formation is that the trend has been up, even if the diamond started from a dump.
Using the same logic, the Daily above is invalated with the one below making more sense.
It should be noted, the PA should be more broad extending to the top and bottom of the Diamonds. Further invalidating the idea of a Diamond formation, especially for the Daily chart.
Using the same logic, the Daily above is invalated with the one below making more sense.
It should be noted, the PA should be more broad extending to the top and bottom of the Diamonds. Further invalidating the idea of a Diamond formation, especially for the Daily chart.
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Update:
If this bear flag (lets focus on only that for now) plays out, we have our measured move at around 6225.
We have achieved 13% of that move and if it plays out to the end, we still have a ways to go. Also there are 2 big levels of support along the way.
If this bear flag (lets focus on only that for now) plays out, we have our measured move at around 6225.
We have achieved 13% of that move and if it plays out to the end, we still have a ways to go. Also there are 2 big levels of support along the way.
Comment:
This is turning out quite well. It has reached 55% of the measured move now (of the bear flag).
Comment:
Target reached 61%
NQ Trader