Crypto
  • BTC
    21192.4 -1.07%
  • ETH
    1216.01 -1.51%
  • SOL
    39.98 -4.79%
  • ADA
    0.5 1.02%
  • AVAX
    20.21 -4.17%
  • DOT
    7.97 -1.39%
  • LTC
    57.78 -1.09%
  • BCH
    114.7 0.68%
  • DOGE
    0.07 7.28%
  • CRO
    0.13 -0.78%
  • MATIC
    0.58 -2.76%
  • LINK
    6.92 -3.98%
  • UNI
    5.63 0.86%
  • SHIB
    0 -1.78%

Bitcoin still in a huge triangle

Today we will have a look at the daily chart of Bitcoin and a shorter time frame as well, to see what opportunities can we expect in the next hours and days.

The daily chart shows huge triangle

From the daily chart we can see that Bitcoin is in a huge triangle. We have moved about the descending trendline, but that changed nothing in the current situation. We can find numerous reasons why Bitcoin could break above or below from the triangle. But, as with anything, we can always find those reasons. As with Ethereum, the probabilities are the same: 50 – 50. It is very likely that we will keep trading in this triangle for some time, but with a bit more time we can expect to see major movement.

Read also: EUR/USD fails to move after ECB, US inflation

That applies to altcoins as well, which are in a very similar situation. Most of them are trading in similar triangles or wedges.

TradingView Chart

Bitcoin 1D chart, Source: Author´s analysis, tradingview.com

Opportunities within shorter time frames

For the past couple of days I have been mostly trading the liquidity. That means that I have find the prices corresponding to the biggest volumes and then I have been trading those price levels. But, as of now, there are not many opportunities from the volume side of things. The overall hype around cryptocurrencies is very low now. Moreover, the overall situation with Ukraine decreased the interest and will for trading. That is one of the main reasons why the whales are mostly going for these price levels.

If we look at one hour chart, we can see that the Bitcoin chart is always coming back to those levels where there is the biggest volume. Currently we are sitting at the point of control and also at a level, where a lot of transfers are occurring. Thus I believe that this is a perfect moment for a downward movement. I have highlighted two different paths this can have. I would not be surprised even to see a new low.

TradingView Chart

Bitcoin 1h chart, Source: Author´s analysis, tradingview.com

Conclusion

I would be very careful with my trades. You either need to have a very tight stop losses or entries for your trades, or you need to be patiently waiting to see a reaction in your zones. If there is not a reaction that you are expecting that can be problematic.

Jakub is a crypto trader and founder of Trader 2.0 project, which helps hundreds of traders from central Europe to understand cryptocurrency trading and its challenges. Jakub not o...

Comments are closed.