BITCOIN RISING WEDGE BREAKOUT AND TARGET
Updated
Bitcoin is breaking out of the Rising wedge. As we all know rising wedge is a bearish pattern but like I said in my previous analysis, I told you a bullish pattern sometimes can break down and a bearish pattern can also break bullish too that’s why it is always advisable to wait for a pattern to break out and also confirm the breakout before taking any trade in order to avoid a fake-out.
Is this a legit breakout?
Well currently it’s looking like a legit breakout but if you take a look at the volume, the breakout volume is still small compared to previous volumes so that is something we need to pay attention too. Because when a price is breaking out of a major resistance, we need huge volume to support the breakout.
It is still early to tell because a lot of traders always wait for a confirmation before taking a trade so I believe when the price retest that upper resistance of the wedge and hold it as support, the volume will come in so pay attention.
Another reason why I think this pattern breakout is a legit breakout is that we had similar patter at the end of 2017 bull cycle.
I will publish that pattern after this so that you can see for yourself.
PRICE TARGET.
The price target for this breakout is around 93.5k.
In my next post I will tell you why you need to be careful about this patter.
Thanks.
Is this a legit breakout?
Well currently it’s looking like a legit breakout but if you take a look at the volume, the breakout volume is still small compared to previous volumes so that is something we need to pay attention too. Because when a price is breaking out of a major resistance, we need huge volume to support the breakout.
It is still early to tell because a lot of traders always wait for a confirmation before taking a trade so I believe when the price retest that upper resistance of the wedge and hold it as support, the volume will come in so pay attention.
Another reason why I think this pattern breakout is a legit breakout is that we had similar patter at the end of 2017 bull cycle.
I will publish that pattern after this so that you can see for yourself.
PRICE TARGET.
The price target for this breakout is around 93.5k.
In my next post I will tell you why you need to be careful about this patter.
Thanks.
Note
Bitcoin is now retesting the upper trendline of the rising wedge it broke out from few days ago just like i said before. we need that trendline to act as support for another push up. if the price should fall back into the pattern then its time to pay serious attention. so watch how the price react with the trendline for now.
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