On the higher time frames, it looks like BTC is trying to make a triangle formation, you can see it both as a symmetrical triangle or an ascending triangle with a horizontal resistance around 10k.
symmetrical triangles are a pattern of indecision, they have 50 50% chance to break to either side. so its always better to wait for the break out first before entering a trade. however, considering the recent strong bullish trend in BTC and general strengths in the crypto market there is more chance for the formation to break up and act as a continuation pattern.
we can see the falling volume pattern as well which suits a triangle consolidation.
So, in conclusion, the 10k ish level and 8600 ish are the decision points, if BTC breaks above 10k it can move to 12k ish but if it breaks below 8.6k it can go as low as 6900.
there are other support and resistant levels between the 2 measured moves to the upside and downside which we gonna get to them after the break out happens.
symmetrical triangles are a pattern of indecision, they have 50 50% chance to break to either side. so its always better to wait for the break out first before entering a trade. however, considering the recent strong bullish trend in BTC and general strengths in the crypto market there is more chance for the formation to break up and act as a continuation pattern.
we can see the falling volume pattern as well which suits a triangle consolidation.
So, in conclusion, the 10k ish level and 8600 ish are the decision points, if BTC breaks above 10k it can move to 12k ish but if it breaks below 8.6k it can go as low as 6900.
there are other support and resistant levels between the 2 measured moves to the upside and downside which we gonna get to them after the break out happens.
Trade active
Comment:
Comment:
trade is activated, the structure broke to the upside. I wanna see volume increase as the price goes up.
Comment:
got above he first resistant zone around 10k.
volume is high but not as high as I would like to see the same about the follow-through of the breakout.
it might come later though, for now as far as it stays above the break out point and the previous resistance then it should be good to continue higher to the first target around 10600 and 11k ish.
volume is high but not as high as I would like to see the same about the follow-through of the breakout.
it might come later though, for now as far as it stays above the break out point and the previous resistance then it should be good to continue higher to the first target around 10600 and 11k ish.
Comment:
Trade closed: stop reached
Comment:
Comment:
as I mentioned on the previous update, volume on the break out wasn't as good as I was expecting which was the first sign of weakness and a signal for a bull trap.
it got rejected after hitting the red box of the resistant zone on the main chart 10400 and failed to hold the 10k ish support zone ( green box) as support.
stop got hit :)
it got rejected after hitting the red box of the resistant zone on the main chart 10400 and failed to hold the 10k ish support zone ( green box) as support.
stop got hit :)
Comment:
-1R
