BTC analysis - bearish continuation?
Since reaching it's All Time High in November, Bitcoin has seen a descending channel, followed by a small descending triangle.
A descending triangle during a larger downtrend is considered a continuation pattern, but can of course break out both sides, usually with a volatile move.
We saw a move to the upside to break both the triangle and the descending channel, but found a strong supply zone above 51k. After multiple attempts to break through the price failed to overcome the supply zone and has come crashing back down, close to the bottom of our previously established triangle.
I would suggest that the continuation of the bearish trend is still a high probability event, breaking below our lower triangle boundary to test the support in the 40-42k range.
We could see some more bouncing around within the current range of 45.5 - 52k - ultimately a break below or above should give indication of the direction we will travel next - but when in doubt, follow the trend and expect Bitcoin to find an easier path down than up for the time being.
This is not financial advice, you are responsible for your own trading decisions.
** LIKE AND FOLLOW IF YOU ENJOY THIS IDEA **
I'll be waiting in the comments below if you have any comments or question.
A descending triangle during a larger downtrend is considered a continuation pattern, but can of course break out both sides, usually with a volatile move.
We saw a move to the upside to break both the triangle and the descending channel, but found a strong supply zone above 51k. After multiple attempts to break through the price failed to overcome the supply zone and has come crashing back down, close to the bottom of our previously established triangle.
I would suggest that the continuation of the bearish trend is still a high probability event, breaking below our lower triangle boundary to test the support in the 40-42k range.
We could see some more bouncing around within the current range of 45.5 - 52k - ultimately a break below or above should give indication of the direction we will travel next - but when in doubt, follow the trend and expect Bitcoin to find an easier path down than up for the time being.
This is not financial advice, you are responsible for your own trading decisions.
** LIKE AND FOLLOW IF YOU ENJOY THIS IDEA **
I'll be waiting in the comments below if you have any comments or question.
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