#BTC is plotting an inverted head and shoulders or will the price start to fall?
At this moment it seems that, on timeframe 4h, a reversed head and shoulders bullish pattern is being configured, as can be seen in image 1 :
Image 1: tradingview – btc / usd – 2018-07-17 – 4h timeframe – inverted head and shoulders
A contrary hypothesis could be that the price, reached the neckline (purple dashed line) that acts as resistance, resumes its descent.
In image 2 we can see instead how, on a 1 day timeframe, the price seems to have rebounded several times on the lower resistance of the pattern of a triangle, signal that the price could soon break down.
Image 2 : tradingview – btc / usd – 2018-07-17 – 1 day timeframe – triangle
A possible trading idea for those inside the market is to come out with a take a profit and monitor the progress of prices to return.
For those outside it is better to stay there as long as there are no clear signs of an upward trend.
A clear upside sign would be to overcome the neckline with the price which either continues to rise or rebounds on the neckline itself upwards.