BITCOIN - Developping Head and Shoulders / falling wedge

Traders, here we are looking at the 2 hour chart of Bitcoin. Clearly the head shoulder formation can be seen. If BTC breaks through the neckline we could go much lower with a target of 43.000 where is strong support waiting.

Another scenario is that BTC froms a falling wedge and that in turn is Bullish. This would invalidate the H & S pattern and you could see a very strong move to the upside. Failed patterns see often sharp moves in the opposite direction.

Currently, it is a matter of waiting to see how this structure continues to form. As long as Bitcoin is in this state, the rest of the coin market will be nervous.

Kommentera:

I would like to see a positive RSI divergence in the D and 4H time frame. This would be a nice signal the downtrend would reverse, See attached screenshot.
Support in the RSI is also broken. See screenshot

Handel aktiv:

The pattern is still active only we have now formed a newer and larger H-S pattern. See thee latests post.

Kommentera:

I think we are going lower again soon. We are forming an inside bar on the D timeframe. This is bearish in a dwontrend.