BTCUSDT | Descending Wedge | Trend Resistance | Bearish
Today's analysis – BTC USDT – Forming a probable descending wedge following a strong rejection at trend resistance
Points to consider:
- Macro trend bearish
- Descending wedge pattern
- Below average volume
- RSI neutral
A strong price rejection at trend resistance, forming a lower high on the chart indicates downtrend continuation for BTCUSDT.
Trading within a descending wedge pattern, BTC's technical target is Daily support.
A bullish break of this pattern, BTC is likely to re-test trend resistance whereas breaking bearish, a breakdown to weekly support is probable.
Volume nodes are declining and below average, an influx is to be expected at the break of the descending wedge pattern as it coincides with daily support.
RSI is neutral as volume declines and volatility contracts. Again, further price action and a break of the pattern will allow for directional bias. Oscillators trading below 50 is bearish and above 50; bullish.
Overall, in my opinion, an S/R flip at daily support validates a short trade to weekly support.
Until a successful S/R flip re-test of trend resistance is formed, I am bearish and will look to short BTC.
If you’ve read this far - thank you for following my work!
And as always,
Focus on you, and the money will too!
Points to consider:
- Macro trend bearish
- Descending wedge pattern
- Below average volume
- RSI neutral
A strong price rejection at trend resistance, forming a lower high on the chart indicates downtrend continuation for BTCUSDT.
Trading within a descending wedge pattern, BTC's technical target is Daily support.
A bullish break of this pattern, BTC is likely to re-test trend resistance whereas breaking bearish, a breakdown to weekly support is probable.
Volume nodes are declining and below average, an influx is to be expected at the break of the descending wedge pattern as it coincides with daily support.
RSI is neutral as volume declines and volatility contracts. Again, further price action and a break of the pattern will allow for directional bias. Oscillators trading below 50 is bearish and above 50; bullish.
Overall, in my opinion, an S/R flip at daily support validates a short trade to weekly support.
Until a successful S/R flip re-test of trend resistance is formed, I am bearish and will look to short BTC.
If you’ve read this far - thank you for following my work!
And as always,
Focus on you, and the money will too!