Today BTC is just above the line I had been calling the downtrend 1, and that forms or the downward side of a downward triangle. As it was not a decisive break up, with good volume and good penetration above the line, I chose to redraw the bearish triangle (now in yellow).
The literature recommends caution when redrawing triangles as one of the goals of the lines is to accurately evaluate the failed attempts to break. You must then tolerate some candles outside the triangle boundaries. In this update, I considered the new recent highs (which includes the failed attempts to break the downtrend line).
I am, however, making the decision to redesign because if the formation that counts is the previous formation (see related ideas), and if this incipient upward movement gains momentum, then the BTC will break the downtrend line of the new triangle soon
Important: note that today there is a reaction to yesterday's weak break up. However, prices remain above the downtrend line 1 (side of the old downward-sloping triangle).
For me everything seems undefined.
The literature recommends caution when redrawing triangles as one of the goals of the lines is to accurately evaluate the failed attempts to break. You must then tolerate some candles outside the triangle boundaries. In this update, I considered the new recent highs (which includes the failed attempts to break the downtrend line).
I am, however, making the decision to redesign because if the formation that counts is the previous formation (see related ideas), and if this incipient upward movement gains momentum, then the BTC will break the downtrend line of the new triangle soon
Important: note that today there is a reaction to yesterday's weak break up. However, prices remain above the downtrend line 1 (side of the old downward-sloping triangle).
For me everything seems undefined.
(i) EMA 50
(ii) 9.9k
(iii) 9.1~9.3k -> critical
(iv) EMA 200
(iii) and (iv) tend to converge.