Bitcoin: Two Possible Scenarios Simplified (How To Trade)X Force provides quality content provided by experienced traders who would like to make charting more simple for the general public. If you love our content, please make sure to give us a 'like', we would highly appreciate it.
Bitcoin is currently painting two different possible scenarios and we would like to break down both the bullish and bearish case via easy technical patterns that everyone can understand.
Bullish Ascending Triangle:
- Bullish ascending triangle usually means Bitcoin might be in a continuation pattern and continue a measured move up to newer highs.
- The pattern completes itself when price breaks out of the triangle in the direction of the overall trend.
- This pattern indicates that buyers are more aggressive than sellers as price continues to make higher lows.
- A breakout and retest of the upper trend line is considered a BUY signal by bulls.
Bearish Rising (Parallel) Channel:
- An upward Price channel pattern occurs when the price makes a series of lower lows followed by a series of lower highs. Typically the price should be contained inside the lines that connect these highs and lows.
- This is usually considered a consolidation phase and pressure will be put on top of the channel by sellers, and buyers on the lower.
- A Rising Parallel Channel usually leads to a breakdown, which is considered the SELL signal.
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