BITCOIN: double TOP?🧐

29 Mar

Hello, friends!😊 Today we talked about double tops and double bottoms. Let's try to apply a double top pattern on the Bitcoin chart!👍

https://www.tradingview.com/x/PLu8KO9u/

🔺🔺Double tops tend to form when the price reaches a high within a current uptrend and then pulls back. It rallies again to the previous high area before stalling and pulling back, falling below the low of the previous pullback. The reason it's called a double top is because the price peaked at the same area twice and was unable to reach new highs, above previous resistance.

Once this popular reversal pattern is confirmed or complete, traders can place a short trade or exit their long positions, of course, once the price drops below the previous swing low.

🔸Target Areas: When determining a potential profit target area, we use the height of the pattern, minus the breakout price point.

⚡️The most important thing to understand in the current situation is that we definitely need confirmation of the breakout point. Only after this can we place a short position.

If you haven't seen my educational post today, I'll attach the link below!👇

https://www.tradingview.com/chart/BTCUSD/SVfutvNZ-Double-Top-Double-Bottom-EDU/

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Thanks for Your attention🙏
Always sincerely with You💙💛
Your Kateryna💋