Recently, BTCUSDT has experienced a nice breakout from the 18k area after a consolidation phase, creating the first Impulse.
The price is currently testing the key level on the 25k area, which is a significant level for traders to watch out for.
As we can see on the left side of the chart, the price has gone through a consolidation phase, which means it is a key level for the market. During the consolidation phase, the price bounced exactly on the 0.382 Fibonacci level and started a new leg. This indicates that the 0.382 level is a strong support level for the price.
The AB-CD pattern is a popular harmonic pattern in technical analysis that traders often use to identify potential buy or sell opportunities. The pattern consists of two legs, AB and CD, and is named after the alphabet. The AB leg is the initial move from point A to point B, while the CD leg is the retracement from point C to point D.
In this case, we can see that there is a potential AB-CD pattern forming in BTCUSDT. As we discussed earlier, the price has started a new leg after bouncing from the 0.382 Fibonacci level during the consolidation phase. If the price continues to move up and forms a retracement from point C to point D, we could see a potential AB-CD pattern.
For traders who are interested in this potential pattern, it is important to watch out for a clear breakout of the key level at 25k. According to Plancton's rules, a clear breakout of a key level is a good indication of a potential long position, which means traders may consider buying BTCUSDT if the price breaks out of the 25k level with a significant volume.
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Follow the Shrimp 🦐
Keep in mind.
The price is currently testing the key level on the 25k area, which is a significant level for traders to watch out for.
As we can see on the left side of the chart, the price has gone through a consolidation phase, which means it is a key level for the market. During the consolidation phase, the price bounced exactly on the 0.382 Fibonacci level and started a new leg. This indicates that the 0.382 level is a strong support level for the price.
The AB-CD pattern is a popular harmonic pattern in technical analysis that traders often use to identify potential buy or sell opportunities. The pattern consists of two legs, AB and CD, and is named after the alphabet. The AB leg is the initial move from point A to point B, while the CD leg is the retracement from point C to point D.
In this case, we can see that there is a potential AB-CD pattern forming in BTCUSDT. As we discussed earlier, the price has started a new leg after bouncing from the 0.382 Fibonacci level during the consolidation phase. If the price continues to move up and forms a retracement from point C to point D, we could see a potential AB-CD pattern.
For traders who are interested in this potential pattern, it is important to watch out for a clear breakout of the key level at 25k. According to Plancton's rules, a clear breakout of a key level is a good indication of a potential long position, which means traders may consider buying BTCUSDT if the price breaks out of the 25k level with a significant volume.
–––––
Follow the Shrimp 🦐
Keep in mind.
- 🟣 Purple structure -> Monthly structure.
- 🔴 Red structure -> Weekly structure.
- 🔵 Blue structure -> Daily structure.
- 🟡 Yellow structure -> 4h structure.
- ⚫️ Black structure -> <= 1h structure.
Comment:
A daily close above 25k could be a good signal
