BTCUSD BEARISH BUTTERFLY Short Opportunity Targets

2 feb 2022

BTCUSD

There is a potential short opportunity for BTCUSD, we can see that there is a `Bearish Butterfly` forming.

The first target of 35.5 K is inline with 0.618 level of the larger leg up. Breaking that will start a further downfall towards previous lows or even lower.




The bearish butterfly marks the test of the upper trendline for the descending broadening wedge.



If BTCUSD reverses from around 31k it would have another go at the falling trendline before retesting the lower trendline and perhaps break it this time. However even after that it is likely for BTCUSD to retest the upper trend line and form an elongated accumulation area along 38 to 32k before going on its next run.