Bullish pattern on bitcoin?

10 mars 2023

Bitcoin broke out of the descending channel a few weeks ago during the run up in price. A reversal happened at what appears to be a neckline of a potential inverse head and shoulders. I drew the pattern the first week after it hit. Would want to see 18-20k put up a fight (20 w moving average support at the top of the descending channel, which is also at the 2017 market cycle high) Seems like a lot of confluence for a nice re-test, consolidation, and breaking of the 200 w moving average to the upside. There is plenty of fear in the market right now, for good reason. To invalidate this inverse H&S setup, hitting the previous low (or worse) would do it. 19.6k entry, 4.5 reward/risk ratio.

23 mars 2023

Note

The inverse H&S broke through the neckline and looks to be topping out at the 28k level. With momentum waning, I'd be looking for an additional entry at the backtest of the kneckline, which coincides with the 200W MA (25.3K). If this re-test does happen and holds support, I think this makes for a decent case for the bitcoin bottom to be in.