The retest phase (4 scenarios)
Updated
Currently, bitcoin is recovering from the current declines. I think this will take place in one of three ways:
1. the price will hit the blue neckline of the head and shoulders formation and then buckle back down.
2. the price will break through the blue line and test the lower edge of the diamond by bouncing down from it.
3 Price will break through the lower edge of the diamond and bounce off the red 3-month resistance line (formed by the previous ATH).
4. the price will hit the upper edge of the diamond and bounce down from it.
There is another ‘bonus’ option - maybe I'm wrong and the bulls are just gathering strength for a big rally for a new ATH but I'd put that rather between fairy tales.
This is not financial advice.
1. the price will hit the blue neckline of the head and shoulders formation and then buckle back down.
2. the price will break through the blue line and test the lower edge of the diamond by bouncing down from it.
3 Price will break through the lower edge of the diamond and bounce off the red 3-month resistance line (formed by the previous ATH).
4. the price will hit the upper edge of the diamond and bounce down from it.
There is another ‘bonus’ option - maybe I'm wrong and the bulls are just gathering strength for a big rally for a new ATH but I'd put that rather between fairy tales.
This is not financial advice.
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It appears that the first scenario is in play:
Note
It appears that scenarios one and two have been invalidated. Scenarios three and four remain in play.
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