The ascending triangle pattern in the Bitcoin (BTC/USD) chart suggests a bullish continuation pattern. Here’s a breakdown of the pattern:
Key Characteristics of the Ascending Triangle:
1. Resistance Level (Flat Top):
• The price has repeatedly tested a resistance level near $107,000 without breaking through.
• This forms the flat upper boundary of the ascending triangle.
2. Rising Trendline (Higher Lows):
• The price has been making higher lows, forming a diagonal support line.
• This trendline connects the series of higher lows, indicating increasing buying pressure.
3. Volume Considerations:
• Typically, volume contracts as the pattern forms and expands upon breakout.
• An increase in volume may confirm a breakout.
4. Breakout Scenario:
• If BTC/USD breaks above $107,000 with strong volume, it could trigger a significant rally.
• The measured move target for the breakout can be estimated by adding the height of the triangle to the breakout level.
5. Fakeouts & Risk Management:
• A breakdown below the rising trendline could invalidate the bullish setup.
• If BTC fails to break $107,000, it will likely retrace back to support (~$90k-$95k)
Potential Target:
• Height of the triangle: Approx. $22,000 (from $85,000 to $107,000).
• If BTC breaks out above $107,000, the projected target could be around $129,000.
Key Characteristics of the Ascending Triangle:
1. Resistance Level (Flat Top):
• The price has repeatedly tested a resistance level near $107,000 without breaking through.
• This forms the flat upper boundary of the ascending triangle.
2. Rising Trendline (Higher Lows):
• The price has been making higher lows, forming a diagonal support line.
• This trendline connects the series of higher lows, indicating increasing buying pressure.
3. Volume Considerations:
• Typically, volume contracts as the pattern forms and expands upon breakout.
• An increase in volume may confirm a breakout.
4. Breakout Scenario:
• If BTC/USD breaks above $107,000 with strong volume, it could trigger a significant rally.
• The measured move target for the breakout can be estimated by adding the height of the triangle to the breakout level.
5. Fakeouts & Risk Management:
• A breakdown below the rising trendline could invalidate the bullish setup.
• If BTC fails to break $107,000, it will likely retrace back to support (~$90k-$95k)
Potential Target:
• Height of the triangle: Approx. $22,000 (from $85,000 to $107,000).
• If BTC breaks out above $107,000, the projected target could be around $129,000.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.