This week, bullish sentiments across the market have almost hit fever pitch. Traders are all watching the same pattern unfold, since November 2015, a high probability upper breakout.
Raoul Paul, ex- Goldman sachs hedge fund manager tweeted this chart above saying
“On the subject of Bitcoin, this wedge offers a high probability of a big upside breakout soon.”
Because almost everyone and their mothers are waiting this, caution is advisable as the market likes to pull the unexpected. I am thinking of July – August last year, when traders were anxious for a cup and handle pattern to retrace a handle and break to the upside, only for it not to materialize, but instead continue down to a new low $198, before trending up to November’s 2015 $502 high.
This week, the price of bitcoin fell to $408 from its $450 high last week. Since February 24, it has gradually crept up towards $440 resistance, but failed to break. Momentumnow seems to have faltered, possiblly heading lower before a second