Like predicted in my previous article, since the very release of the Coinbase IPO, "COIN", Bitcoin has yet to test new highs.
Consequently, Bitcoin is nearly 45% from the April 13th high, and has spent the last 18 days consolidating into what appears to be a pennant.
Generally, pennants have a higher probability of a continuation than a reversal. However, this pennant is placed just above a very major trendline. In addition, the entire Bitcoin Conference of 2021 was full of nothing but bullish news such as the first country in history to accept Bitcoin as a legal tender! Despite Elon Musk attempting to drive this market down via his Twitter account, I believe we have yet to of seen a real bounce from this nasty market leader.
Major Trendline:
My plan:
I have already entered a small amount that was previously nabbed on the first test of the major trendline.
I am hoping that BTCUSD plays a usual breakout pattern which I have demonstrated on the chart above. Therefore a majority of my bids are sitting at trendlines just above 34k. At this point I will enter the remaining of my position with periodic stops to reduce exposure if needed.
IF BTC breaks and stays below the 0.236 at $33.4k I would say we have a lot to worry about.
IF BTC fails to retest bottom support and breaks back above the pennant resistance, I will enter the remaining of my position manually.
Remaining optimistic, I have my primary target set at 42k and will adjust based on the performance.
Wish you all the best of luck!
Consequently, Bitcoin is nearly 45% from the April 13th high, and has spent the last 18 days consolidating into what appears to be a pennant.
Generally, pennants have a higher probability of a continuation than a reversal. However, this pennant is placed just above a very major trendline. In addition, the entire Bitcoin Conference of 2021 was full of nothing but bullish news such as the first country in history to accept Bitcoin as a legal tender! Despite Elon Musk attempting to drive this market down via his Twitter account, I believe we have yet to of seen a real bounce from this nasty market leader.
Major Trendline:
My plan:
I have already entered a small amount that was previously nabbed on the first test of the major trendline.
I am hoping that BTCUSD plays a usual breakout pattern which I have demonstrated on the chart above. Therefore a majority of my bids are sitting at trendlines just above 34k. At this point I will enter the remaining of my position with periodic stops to reduce exposure if needed.
IF BTC breaks and stays below the 0.236 at $33.4k I would say we have a lot to worry about.
IF BTC fails to retest bottom support and breaks back above the pennant resistance, I will enter the remaining of my position manually.
Remaining optimistic, I have my primary target set at 42k and will adjust based on the performance.
Wish you all the best of luck!
Trade attivo:
and we are filled!
Creator of DepthHouse Indicators on TradingView!
↣ depthhouse.com/
↣ depthhouse.com/
