In my previous analysis I talked about The falling channel Bitcoin was in. However when I took another look at it, it looked more like a falling wedge. This does not make any difference in the outcome of the price but this shows that TA can be subjective. But that is not what I wanted to talk about.
Falling wedges and channels are my favorite bullish trade setups for any asset and it shows again. The setup is as follows:
1: We spot a falling wedge or channel preferibly on the daily timeframe or higher.
2: The price start going sideways at the bottom of the channel or wedge. This is where you want to buy. Look for a bullish divergence on the rsi on the hourly or maybe even the 15 min chart for an even better setup.
3: Set a stop-loss in case the price breaks support.
4: ?
5: profit
On this chart we can see 2 horizontal white lines above the current price. These are the price targets for this setup.
Falling wedges and channels are my favorite bullish trade setups for any asset and it shows again. The setup is as follows:
1: We spot a falling wedge or channel preferibly on the daily timeframe or higher.
2: The price start going sideways at the bottom of the channel or wedge. This is where you want to buy. Look for a bullish divergence on the rsi on the hourly or maybe even the 15 min chart for an even better setup.
3: Set a stop-loss in case the price breaks support.
4: ?
5: profit
On this chart we can see 2 horizontal white lines above the current price. These are the price targets for this setup.