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🔧 Technical Setup: What You’re Seeking

Crypto coins that satisfy four bullish reversal or continuation conditions simultaneously:

RSI under 20 – indicating extreme oversold momentum.

Double-bottom – a “W”-shaped reversal pattern (confirmed when price breaks above the neckline)

Cup-and-handle – a consolidation pattern where price forms a rounded “cup” followed by a short downward “handle” before a breakout.

Falling wedge – a contractive downward-sloping channel that often precedes bullish breakouts Wikipedia.

And a “parabolic” breakout setup – accelerating price action aligned with these patterns.



🧠 Theory Behind the Combo

RSI < 20 signifies deeply oversold conditions and often sparks mean-reversion trades.

Cup‑and‑handle and double‑bottoms are classic bullish reversal formations.

Falling wedges, when they resolve to the upside, are reversal continuation patterns indicating momentum is shifting higher.

The confluence of these signals heightens the probability of a parabolic move upon breakout.


⚠️ Practical Challenges

Rare conjunction: It’s unlikely to see all four occur exactly on the same coin and timeframe.

Data limitations: Public scanners typically only flag one or two of these patterns (e.g. RSI bounce, lower Bollinger break, wedge, double-bottom).

Volume confirmation: For high-probability setups, you’d want increasing volume on breakout plus RSI divergence or rising momentum .

Timeframes matter: These patterns are most reliable on 4‑hour, daily, or weekly charts—not intraday noise.


✅ Realistic Scanning Workflow

Here’s a framework you can apply using a charting platform with screener features:

Scan for RSI < 20 on your preferred timeframe (e.g. 4h or daily).

Filter those for double-bottom, cup-and-handle, or falling wedge formations visually or via pattern screener.

Check historical volume behavior:

Has volume declined during the formation?

Is volume picking up as price nears the “handle” or wedge apex?

Watch for breakout candle that closes above the neckline (double bottom), upper wedge line, or handle resistance with volume increasing.

Confirm RSI rebounding above oversold zone or divergence off recent lows.


💡 Example Financings (Hypothetical)

A coin forming a double-bottom while RSI remains <20, volume contracted, and now price clears the pivot line—this could act like a mini parabolic spring.

Another token carving out a falling wedge over weeks with declining volume—with RSI stuck <20—upon breakout, price could spike in a sharp move.

🧭 Summary

While it’s highly uncommon to find all those patterns and extreme RSI converging precisely, it is possible to:

Start by filtering for RSI <20.

Then focus on coins forming double-bottoms, cups-and-handles, or falling wedges.

Look for breakout confirmation with volume pick-up and RSI rebounding.

That confluence—especially the RSI bounce after extreme oversold state—can foreshadow a parabolic rally.