Bitcoin has broken down of the neckline

in bitcoin •  7 years ago 

📢🎓 Bitcoin has broken down of the neckline of the bearish head and shoulders pattern. If the cryptocurrency sustains below the neckline, it has a pattern target of $5,745.

However, we don’t expect to see such a plunge in the short-term.
We believe that the bulls will attempt to defend the recent lows of $10,704.99. But if they fail, the bears are likely to intensify their selling. A number of long positions will start to bleed, which is likely to lead to panic selling. We see another support at the $8,000 mark.

All these lower levels will come into play only if the BTC/USD pair breaks and sustains below the 50-day SMA.
Contrarily, if the bears are unable to breakdown of the 50-day SMA, we may see a recovery in the new year. Yet, we will prefer to wait until the digital currency breaks out of the downtrend line to initiate any position. We don’t find any trades at the current price.

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I sound head and shoulders pattern should have a clear neckline, but it is a creative task to draw on these long wicks here so I understand that you refrained from that.

Or is one of those bubbles, which are impossible to read, refering to a neckline? Pity one can't enlarge the chart. I had the same issue today.

It could be what is called a "look a like" H&S pattern.