#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.
The guild pattern on 4h timeframe has just broken down, now we are going for the 50m test.
Let’s start immediately with the graph in image 1 :
Image 1: tradingview – btc / usd – 2018-07-04 – 4h timeframe – broken downside guide
We can see how the pattern of the guide (in dark green) has been broken down, with low volumes and the ADX that signals a very weak trend.
At this moment we are going for the resistance test dictated by the amg50, under which it might be appropriate to fix the appropriate stop loss.
In image 2, instead, we highlight the previous inversion of short-term trends in April 2018:
Image 2: tradingview – btc / usd – timeframe 4h – previous trend inversion
It can be seen that the previous trend inversion occurred much more clearly (phases highlighted in red), and that therefore the current one could only be a lateralization phase.
Still in image 2 we can see in purple the pattern of the triangle in the long run which has been broken down but has not subsequently been again broken upwards, thus indicating a possible recovery.
Ultimately the current situation is to be monitored, monitoring the indicated signals and paying attention to a possible lateral phase that could resume its race to the bottom.
The #BTC has risen in price in recent days, with a significant price increase in the last 4h, which is a sign of recovery?
Let’s start immediately from the price chart in image 1:
Image 1: tradingview – btc / usd – timeframe 1h – 2018-07-02
What can be seen is:
- A double bottom on the price chart, followed by the breaking up of a triangle, both bullish signs;
- The overwhelming RSI, due to the last climb;
- The ADX which still marks a weak trend;
Given these factors, an example of trading for those who are out of the market, is to stay out waiting for a probable downward correction of prices.Then decide an entry with the appropriate stop loss.
For those who are in the market, it may instead be good to stay flat, also with the appropriate stop loss, waiting to understand if the climb continues.
We at Cryptograph Team are currently in the recato and remain flat.
The #Bitcoin is in freefall, falling to 8268.69 usd at the time we are writing the article, even many #Altcoin who are following.
As you can see in image 1, the bitcoin has drawn a double top and then re-starts the descent phase:
Image 1: Tradingview – BTCUSD – 2018-05-12 – Timeframe 1 day – Double top
Look at the prices in the long run seem to move within a triangle, the current top two could then push us to the bottom of the triangle or around 6300 usd, and then re-initiate to rise in a later phase.
The price trend on therefore suggests to divest because losses could continue: the double top pattern indicates a phase of substantial price drop.
At this time also many altcoins seem to follow the bitcoin, such as #EOS which reports a loss in the 24h of 6%, or the # ONT of 8.81%. Attention must also be paid to those that are currently uphill because they could also be influenced by the #BTC.
#BTC uphill or downhill?
This morning we publish a flash article on #Bitcoin, starting from the technical analysis of image 1 :
Image 1 – tradingview – 1 day timeframe – btc / usd: continuation triangle and hidden bullish divergence
We can see both a bullish continuation triangle on the price chart, while on the RSI there seems to be a Hidden Bullish divergence which is also a bullish continuation signal.
Ultimately the trend of BTC seems to be still bullish, but it is still necessary to find confirmation in prices and fix the appropriate stop loss.