Head and Shoulders finishing with a Cup and Handle.If you followed my previous post, you'll have seen the H & S we were following. So far we are seeing strong signs of a trend reversal in favor of the Bulls. Right now we are witnessing the completion of another bullish sign of an overall market increase in value. The Cup and Handle to the right of the Head and Shoulders is actually integrated with the right shoulder of the first pattern we were watching.
Signs are showing that market sentiment has improved. Good news has been following Cryptocurrencies for about a week now. Chinese New Year is about to end. A lot of signs are pointing to a market recovery. And, if you're like me, you don't believe that 400 Billion dollars in market cap could have simply been deposited back into bank accounts across the world within just a few days. I believe that all this money has been sitting in exchanges in the form of fiat or Tether waiting for the smoke to clear. A confirmed breakout will signal the bots, day traders, and "smart money" to all re-enter this market. When this ball gets rolling it's going to be hard to stop.
Not saying that BTC is going to "moon" again, but a lot of the coins which rely on BTC as their primary trading pair will be more fairly valuated and will recovery soon. If BTC hits 11,000 USD we may see it flatten out and stabilize. Money will flow through BTC and into the "alts" (superior technologies) which will show BTC as having massive volume with little change in value. The alts, meanwhile, will be enjoying a strong recovery.
Good luck and happy trading.
