$BTC Bitcoin Cypher / Broadening Wedge
We've been going over an idea on twitter about possibly forming an inverse head and shoulders here, but with volatility expanding from the lows in a bearish trend on the 1HR, i think its more likely we get a retracement to the .786 to complete the Cypher or give us an extension to the .886-1.13 with a spring reversal.
Worth mentioning the bearish trend on the ADX cloud is fading, if we hold up here long enough it would likely flip bullish and give us an expansion to the upside. Youd want to see the OBV give us a signal as well.
We do have a nice drive of bullish divergence on this time scale as well which would further the argument of an attempt to the upside from here, but ultimately that could just be the lower low double top we would expect to see prior to a move downward.
It does seem that shorts are being built in that 20600 zone there with the upthrust trapping the bulls, and if we pivot here the partial decline would surely make the bears pay the price as well. A continuation inside of the gray ascending broadening wedge would be bullish, but the descending broadening wedge in yellow has its supply line just above where we are trading and could end up rejecting once again.
Ive got some higher time frame ideas ill be sharing on here soon, but wanted to address this, because we are approaching expansion soon.
Worth mentioning the bearish trend on the ADX cloud is fading, if we hold up here long enough it would likely flip bullish and give us an expansion to the upside. Youd want to see the OBV give us a signal as well.
We do have a nice drive of bullish divergence on this time scale as well which would further the argument of an attempt to the upside from here, but ultimately that could just be the lower low double top we would expect to see prior to a move downward.
It does seem that shorts are being built in that 20600 zone there with the upthrust trapping the bulls, and if we pivot here the partial decline would surely make the bears pay the price as well. A continuation inside of the gray ascending broadening wedge would be bullish, but the descending broadening wedge in yellow has its supply line just above where we are trading and could end up rejecting once again.
Ive got some higher time frame ideas ill be sharing on here soon, but wanted to address this, because we are approaching expansion soon.
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