I am still in long trade and today we can see that the Bitcoin shows us something interesting.
BTC is forming the symmetrical triangle which is the classical trend continuation pattern, but we have to watch out the side which the price choose for the breakout. I don’t like to trade breakouts, but I will take into account the breakout side in my current trade management.
Look at the triangle’s height target to the upside. It corresponds exactly with the 0.61 Fibonacci level of the last downside impulse. This is my target which I pointed out earlier. Let’s see what happen.
Good luck!
DISCLAMER: This is not a financial advice, do you own study before making a decision on the real market. If you decided to follow the idea in this article, please restrict your risk to 0.5%-1% of your entire deposit.
From my 4H analysis, I do not believe we have broken trendline resistance yet. I also view us trading with a bearish pennant. A potential fakeout above trendline resistance is coming but I do not believe it will be sustained. The dashed white line is our previous bottom of 28.8k, staying above this will be critical for BTC to go bullish. The decrease in volume comes hand in hand with weekend trading, Monday-Wednesday we will see normal trading and a better idea of where we are going. Thanks for sharing your analysis!
@WPTraders, Thank you so much! Yes, we saw the false breakout this night. I hope that now we are seeing the false breakdown of some chart pattern (triangle or wedge)
From my 4H analysis, I do not believe we have broken trendline resistance yet. I also view us trading with a bearish pennant. A potential fakeout above trendline resistance is coming but I do not believe it will be sustained. The dashed white line is our previous bottom of 28.8k, staying above this will be critical for BTC to go bullish.
The decrease in volume comes hand in hand with weekend trading, Monday-Wednesday we will see normal trading and a better idea of where we are going.
Thanks for sharing your analysis!