RISING WEDGE ALERT ⟶ BULLISH OR BEARISH MOVE AHEAD?!
2024-10-17

In the daily time-frame, an rising wedge pattern has formed in #BITCOIN, and it has currently hit the upper arm of this pattern 🔼.

At the same time, we have the top of the weekly bearish channel here, indicating that this is an important resistance zone, and there’s a potential for a bearish move from this area ⚠️.

Additionally, within this dense resistance area, there’s a possibility of confirming a divergence based on the MACD indicator in the daily time-frame 📉.

Two resistance levels are present around the upper arm of the wedge (67630.30 and 69033.73-69758.04), and BITCOIN has already hit the first one 💥.

One of these levels could be the high-formation point and the start of a bearish move based on the wedge pattern ⬇️. In the first step, this move could drop to the lower arm of the wedge, around 60791.90-62097.80. In the next step, if the lower arm breaks, it could drop to the targets of 55085.70-56565.90 and eventually 46842.20 📉.

The condition for a bearish move due to hitting this dense resistance area is the break of a key support level, which is introduced in the 4-hour timeframe analysis 📊.

Until that happens, the conditions should be considered neutral ⚖️.

However, if BITCOIN rallies before breaking our key support and breaks the upper arm of the wedge to the upside without quickly falling back below, the scenario of a bullish move becomes more prominent, and the growth could continue toward the target of 74739.90 in the first step 📈.

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Today's #BITCOIN Analysis
4-hour timeframe ⏰

In the daily timeframe analysis, we mentioned that #BITCOIN has hit a dense resistance area 🔼. The condition for a bearish move in #BITCOIN due to this resistance is the break of the last bullish channel in the 4-hour time-frame 🔻.

In this case, it could drop to the targets mentioned in the previous analysis ⬇️. This is the main confirmation for a bearish move, and any other confirmation carries higher risk (referring to lower timeframes) ⚠️.

However, we'll also discuss earlier confirmations for a bearish move in the lower time-frames 📉.