Over the last 4 days, Bitcoin price has been consolidating within a $1,000 range clearly forming an asymmetrical triangle. Price action is squeezing, resulting in the range becoming tighter as market price nears the end of the triangle. A clear breakout or breakdown will present a great trade opportunity in the coming days.
Bitcoin Price 4 Hour Analysis
On the 4 Hour chart, we can see an asymmetrical triangle has formed as a result of the most recent pull-back to $9,600 from the yearly high around $13,900. Price action range is becoming increasingly narrower as price levels near towards the end of the triangle. This is a strong sign of ”suppression” as trading range begins to tighten, after a large move an explosive move must happen thereafter. The same concept can be applied to a spring, in the same way when a spring or coil is suppressed it will eventually spring back open. This concept is commonly seen with the indicator ”Bollinger Bands”.
The best way to approach trading Bitcoin over the coming days is to assume a…