S&P: Falling WedgeSPY is in a falling wedge. The most likelihood is that cryptocurrencies will be influenced by these price movements.
Falliingwedge
BTCUSD Falling Wedge Breakout But Low Volume! Hello Traders,
Update on Bitcoin’s recent developments,
Points to consider,
- Trend bullish short term
- Price testing resistance (around $10440 Zone)
- RSI respecting upwards trend line
- Stochs showing downwards momentum
- EMA providing support but looks weak
- Volume below average, even after breakout of falling wedge
Bitcoin was trading in a falling wedge pattern that recently broke bullish; the calculated target sits at around $10,604.00
The trend is bullish in the short term as bitcoin has been respecting the upwards trend line that is coming into local resistance, red zone, which is in confluence with the .382 Fibonacci Zone. This area is of strong resistance as previous price action has been rejected multiple times…
The RSI is respecting the upwards trend line, if we see a break of this line, then bitcoin is more probable to return back to the overall trend. This would make a lot of sense as we see the Stochastics showing clear downwards momentum…
The EMA’s are holding price as support, however does look quite weak as the resistance above is to strong at current given time. The volume is below average signifying that bitcoin may not reach the calculated target of the falling wedge. We need strong notable volume to break through theses strong resistance zones (Red Areas)
Bitcoin is more probable to retrace back to the trend line due to the lack of volume and the strong resistance lurking above…
What are your thoughts? Will Bitcoin meet target or retrace from current point?
Please leave a like and comment
And remember,
“If you don’t respect risk, eventually they’ll carry you out.” – Larry Hite
