Bitcoin dominance teasing a break above the purple channel.
The fomo of people wanting to start piling into bitcoin is intensifying and we can see that here in the bitcoin dominance chart as price action is starting to poke its head above this purple channel we’ve been consolidating in for some time. For it to truly break out. Of this channel it’s gonna need to flip the tan trendline just above it to solid up port though. A rejection from that tan trendline could send bitcoin back inside the purple channel. Should it flip the tan trendline to support, you can see the dotted purple line that will lead us to the full measured move target. We can also see a dotted green measured move line from a different chart pattern to the left of that also having a price target that is close to the same range, which bolsters the probability of the purple target being reached with some nice bullish confluence. No confirmation of the breakout just yet but If we can get a full candle closing above the channel in its entirety that will likely be a bi sign that its ready to trigger. First things first is just getting part of a 1day candle body to close above the top trendline of the purple channel. SHould this confirm its breakout then we are likely to see bitcoin pump on its own while most of the alts only go sideways or have very little increase in price until bitcoin dominance has reached its full target. *not financial advice*
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I have two potential top trendlines for the purple channel both seem valid and maybe they both are in one way or another.
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Very confident daily candle closes wel above the tan trendline. Odds are good if/when it retests this trendline because it broke above it with such authority, probability favors it retesting as support.
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Current retesting tan trendline as support for now.
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Price action back below key tan trendline…for now
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Now we are back inside the purple channel. WOuld be an impressive breakout fakeout if it closes a candle back. Inside the channel
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Bitcoin dominance once gain back in the channel perhaps the 3rd times the charm and it will confirm on its 3rd breach of the top trendline.
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Dominance just came super close to reaching the dotted purple line emasured move line target.
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Both the dotted purple measured move line’s target and the dotted green line’s target hit!