Rejection or chop, low time BTC highlights
Updated
We broke out of the descending broadening wedge, we confirmed resistance as support twice at B and D of the bullish harmonic pattern.
We did by my count 5 waves up and we are currently in a ABC correction.
Forming a head and shoulders pattern with a measured move below support line at around ~31.5k. That is still a higher low but that would break support.
Fib extension from A to 0 and A to B show 1.618 and 2.618 confluence at that level.
I will remain neutral until ~32.2k gets defended and turns Support.
The daily formed a double bottom with broke out but failed to keep above the neckline at ~35.3k. RSI still range bound so we will still see some chop around this area.
Bullish scenario
A head and shoulders pattern that fails to hit the target is very bullish.
Bearish scenario
A completion of the pattern and break of the support line.
We did by my count 5 waves up and we are currently in a ABC correction.
Forming a head and shoulders pattern with a measured move below support line at around ~31.5k. That is still a higher low but that would break support.
Fib extension from A to 0 and A to B show 1.618 and 2.618 confluence at that level.
I will remain neutral until ~32.2k gets defended and turns Support.
The daily formed a double bottom with broke out but failed to keep above the neckline at ~35.3k. RSI still range bound so we will still see some chop around this area.
Bullish scenario
A head and shoulders pattern that fails to hit the target is very bullish.
Bearish scenario
A completion of the pattern and break of the support line.
Note
So bullish it is
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