BTCUSDT – Ending Diagonal Nearing Completion? Critical Decision
This structure appears to be developing within an ascending channel, potentially completing an ABC correction with a final impulsive move toward the upper trendline. The internal wave count indicates a possible completion of subwave (5) of C near the top.
However, bearish divergence in structure and the sharp nature of the previous impulse suggest caution. Two major outcomes are on the table:
Continuation Scenario: Price breaks above Wave 5, extending the rally in an overthrow move before reversing.
Reversal Scenario: Breakdown from the channel support (~107,000) could drag BTC down toward the broader trendline near 98,000–99,000.
This zone aligns with previous wave B support and could serve as a critical retest area.
Traders should monitor a break below the wave 4 pivot and channel midline as early signs of weakness. A rejection from the current top without higher highs confirms a potential end of the diagonal.
However, bearish divergence in structure and the sharp nature of the previous impulse suggest caution. Two major outcomes are on the table:
Continuation Scenario: Price breaks above Wave 5, extending the rally in an overthrow move before reversing.
Reversal Scenario: Breakdown from the channel support (~107,000) could drag BTC down toward the broader trendline near 98,000–99,000.
This zone aligns with previous wave B support and could serve as a critical retest area.
Traders should monitor a break below the wave 4 pivot and channel midline as early signs of weakness. A rejection from the current top without higher highs confirms a potential end of the diagonal.
Trade closed: target reached
Note
I'm expecting the end of the Diagonal Wave 1.B around the 90k level on the daily chart, followed by the start of the upward Wave 1.C.
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💼 Professional market insights & charts:
cakirinsights.com/
cakirinsights.com/
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.