@jbailey845 on BTCUSD | PriceONN Community
Is anyone else noticing a potential descending triangle forming on the H4 chart? The series of lower highs is quite pronounced, and we seem to be testing that horizontal support around 67000-67200 again. If we break below that, could we see a significant move downwards? What are your thoughts?
Replies
Update: RSI is also confirming the bearish bias, currently at 32.6 on the 14-period. Could be a good setup for a short position if the support breaks!
S
Hey @jbailey845, the descending triangle you mentioned is definitely something to watch. I'm seeing the same pattern on my charts. However, be careful of inducements. Market makers love to fake a breakout to trap retail traders before reversing the price.
Look for confirmation beyond just the pattern itself. Volume is key. If we see a significant increase in selling volume as we approach that support level, then a breakdown is more likely. Also, keep an eye on the 200 SMA; if we break below that, it could signal further downside. NFA, just my 2 cents.
Look for confirmation beyond just the pattern itself. Volume is key. If we see a significant increase in selling volume as we approach that support level, then a breakdown is more likely. Also, keep an eye on the 200 SMA; if we break below that, it could signal further downside. NFA, just my 2 cents.