BTC appears to staying within a 4h channel. It appears that we might be forming a bear flag on the weekly, and we need to continue to see diminishing volume if the pattern is to play out. The price action still looks weak because BTC is slowly grinding upwards with a lack of impulsive behavior as it breaks resistances, accompanied by declining daily volume. Important resistances that could keep price contained within the channel or that bears could use as stop/loss levels are also just above recent price: Monthly 12ema at 7200, Weekly 12ema at 7000, Weekly 55ema at 7140, Daily 50MA at 6950. We have finally made it above and are trying to hold 12/26/55Ema on the daily timeframe. If you want to trade within the pattern, the 4h Stochhastic D/K crossings at or near overbought and oversold levels have been giving entries for modest gains. Personally, I've been trading stocks instead of crypto because currently the volatility and setups are much better in that sector.
EDIT: Depending on how you like to draw channels, here is another possibility using candle wicks
EDIT: Depending on how you like to draw channels, here is another possibility using candle wicks
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Also, the possibility of a rising wedge (blue trendlines).
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I've entered a short position on the break of 7000 because of the long upper wick that formed immediately after the break. We've seen big upper wicks on the previous attempted bull breaks on the 4hr that have always led to profit taking and bearish entries. For me the risk is small because the 1h and 4h Stochastic and RSI are extended, so probability favors consolidation rather than continuation in my opinion. Also, Bitfinex shorts did not close on the break of 7000 like I would have expected.