Description: BTC is forming a Bullish Bump and Run Reversal Bottom pattern while challenging a yearly declining trendline. Given the points A ($61,000), B ($48,000), and C ($30,000), the targets upon breakout could be $42,000, $50,000, and $56,000, dependent on the exact break point.
Hello traders!
Today, we're analyzing BTC as it exhibits signs of forming a Bullish Bump and Run Reversal Bottom pattern, simultaneously challenging a yearly declining trendline. Let's examine this pattern and outline the potential targets if a breakout occurs.
Chart Analysis:
Bump and Run Reversal Bottom Pattern: This pattern typically begins with a downtrend (the lead-in), followed by a bump (higher prices), and finally, a run (a reversal to the upside). In the case of BTC, point A was at $61,000, point B at $48,000, and point C is the current price of around $30,000.
Challenging the Declining Trendline: BTC is testing the yearly declining trendline. A break above this trendline would activate the Bump and Run Reversal Bottom pattern, indicating a potential bullish reversal.
Targets Upon Breakout: If BTC breaks the declining trendline and activates the Bump and Run pattern, it could target $42,000, $50,000, and finally $56,000, depending on the exact breakout point. These targets are estimated by measuring the depth of the "bump" and projecting this distance up from the breakout point.