Cup & Handle
Looking at the four hour chart here and Bitcoin is forming a nice cup and handle pattern. We have hit support within the handle so provided we don't fall further, this looks like it has a chance of playing out. Supporting this view is Stoch RSI and RSI have plenty of room for expansion; with Stoch RSI being oversold and RSI almost oversold. Shorts are in a great position for a short squeeze and appear to have hit resistance on the BTCUSDSHORTS chart. Conversely BTCUSDLONGS retraced slightly and are at an area of support.
If this does eventuate then the target is 11,000ish based on the height of the pattern. This level is pretty much right on the 38.2 Fib level resistance based on a Fib Retracement running from the peak of the bull run to the low in June. An ideal entry for a long is >8800.
If this does eventuate then the target is 11,000ish based on the height of the pattern. This level is pretty much right on the 38.2 Fib level resistance based on a Fib Retracement running from the peak of the bull run to the low in June. An ideal entry for a long is >8800.
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