After several months of a slow and progressive fall, we have experienced a growth in recent days that could indicate the arrival of a well-known configuration: head & shoulders.
We are still in the head of this configuration, so this is a high anticipation, encouraged by the fact that this configuration occurs frequently in the crypto world.
The situation could therefore be a first return to $4300, followed by a relapse around $3400, marking the creation of the second shoulder.
Then, we could experience further growth to the $4300 neck line again, before experiencing growth to much higher levels, namely in the $6000, long-term resistance known for several months, for an increase of 39% over the $4300.
The interesting point is that the head of the configuration also has an amplitude of 39%, thus confirming the theoretical assumptions about this type of configuration.
Summary :
We are long up to $4300, then short while waiting for the new fall and will take back position in the $3500 to take advantage of the new increase.
We are still in the head of this configuration, so this is a high anticipation, encouraged by the fact that this configuration occurs frequently in the crypto world.
The situation could therefore be a first return to $4300, followed by a relapse around $3400, marking the creation of the second shoulder.
Then, we could experience further growth to the $4300 neck line again, before experiencing growth to much higher levels, namely in the $6000, long-term resistance known for several months, for an increase of 39% over the $4300.
The interesting point is that the head of the configuration also has an amplitude of 39%, thus confirming the theoretical assumptions about this type of configuration.
Summary :
We are long up to $4300, then short while waiting for the new fall and will take back position in the $3500 to take advantage of the new increase.