BTC 1H Bearish Pennant?Hello everyone, I invite you to check the current situation on BTC in the USDT pair, taking into account the short interval of one hour.
We will start by defining the downward trend line in yellow, and here we can see how the price left this line sideways and formed the so-called Bearish Pennant, which we used blue lines to mark.
It's worth taking a moment to discuss Bearish Pennant here, as it is characterized by a downward price breakout. We can determine the stoploss level and then go lower and determine the entry level if we want to play a short position. And in this situation, you can often see a breakout at the height level between the stoploss position and the entry into the position.
Now we can move closer to the chart taking into account recent price movements in order to check for resistance points in the event of a trend reversal. And here, after unfolding the trend based fib extension grid, you can see resistance at the level of $43,124, and then, near the designated stoploss, you can see the resistance zone from $43,882 to $44,281.
Looking the other way, we can similarly identify support areas when the price starts to fall lower. And here you can see how the price is based on the support zone from $42,518 to $42,225, but if the zone is broken, we will see support around $41,393.
At this point, it is worth turning on the EMA Cross 10 and 30 indicator, because we can see how the red line crossed the green line from above, which confirms the return to the local downtrend.
The RSI indicator shows that it has started to reverse after crossing the middle of the range and still has room to decline. However, the STOCH indicator shows that energy is starting to run out, which may cause the price to slow down again.
