Cup and Handle Formation: Bitcoin has been forming a classic cup and handle pattern, which is a bullish continuation signal. This is a large pattern , and it's still playing out. If the pattern completes as expected, we could see a potential target of around 35k for Bitcoin.
Pennant Formation: Currently, a pennant pattern is forming just above the breakout level of the cup and handle. This is a short-term pattern, and we expect a breakout within the next 3 days. A successful breakout to the upside would confirm the bullish bias and support the 35k target.
Alternate Scenarios: If the pennant fails to break out within the next 3 days, we might see the development of a larger pattern or a drop down to the Anchored VWAP (AVWAP) level, as mentioned in previous analyses.
🎯 Entry, Stop Loss, and Take Profit Targets:
Entry Point: Consider entering a long position upon a confirmed breakout of the pennant pattern. Stop Loss: Place a stop loss below the recent swing low within the pennant. Take Profit: Set a take profit target around 35k, which is the projected target of the cup and handle formation. 🔔 Risk Management: Adjust your position size based on your risk tolerance and use proper risk management strategies, such as trailing stop losses, to lock in profits as the price moves in your favour.
⚠️ Disclaimer: This analysis is for educational purposes only and should not be taken as financial advice. Always conduct your own research and consult with a financial advisor before making any trading decisions.
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