Not all rising wedges resolve to the downside.
Sometimes they are just volatility squeezes into trend continuation. I know the main trend on this BTC dominance chart is to the downside, but let me explain.
In the chart above the BTC dominance has made 4 consecutive lower lows, which indicates of exhaust to go lower in this case.
One could also say that the dominance has been in a range for 1,5 years, this too is what I could agree on.
So the trend exhaustion and current macro markets state gives me enough reason to think that we are going to move up from this bottom range of BTC dominance.
My targets would be the top of this range, then possibly leading into round numbers, 50 -> 55 -> 60, where the latter would also mark the spot where last bull run began.
BTC dominance rising is generally bearish for the alts, and in this case also for BTC (meaning BTC would fall less than altcoins).
Take care, and trade safe!
Sometimes they are just volatility squeezes into trend continuation. I know the main trend on this BTC dominance chart is to the downside, but let me explain.
In the chart above the BTC dominance has made 4 consecutive lower lows, which indicates of exhaust to go lower in this case.
One could also say that the dominance has been in a range for 1,5 years, this too is what I could agree on.
So the trend exhaustion and current macro markets state gives me enough reason to think that we are going to move up from this bottom range of BTC dominance.
My targets would be the top of this range, then possibly leading into round numbers, 50 -> 55 -> 60, where the latter would also mark the spot where last bull run began.
BTC dominance rising is generally bearish for the alts, and in this case also for BTC (meaning BTC would fall less than altcoins).
Take care, and trade safe!
Comment:
Note that this possible move to the upside could also mean BTC is gaining ground in dollar terms. BTC is in a triangle formation in an interesting spot right now.
Comment:
While this rising wedge call was wrong, I still think BTC dominance should slam at least to 50% to clean out garbage that has been left.