Bitcoin reverses in a new direction
Bitcoin increased yesterday, creating bar D1 that increased in a wide range and closed close to the peak, showing good buying pressure. The increasing bar D1 yesterday was approximately as large as the previous decreasing bar D1. Combining these 2 D1 bars is a Double Bottom candlestick pattern - Tweezer Bottom - a candlestick pattern reversing from bearish to bullish.
The confluence support zone combines three technical factors: (1) PPZ, (2) the round number 60,000, (3) the resulting upward sloping trend line, creating an effective price support for Bitcoin D1. This is something we analyzed earlier.
Bitcoin D1 is in a sideways state because it has not yet created a new high price peak. Bitcoin's D1 chart structure is bullish, as the highs and lows of the price gradually increase.
Bitcoin H4 just had a series of 05 continuously increasing H4 bars, showing very good buying pressure from below.
The behavior of the price breaking up from the upper boundary of the downward sloping price channel - bearish channel - is a factor supporting the possibility of price increase.
Today's Bitcoin H4 scenario is buying, including (1) buying if there is a breakout to the upside and then retesting afterwards, (2) buying if the price drops to retest the PPZ below, because a pattern may form. The inverted head and shoulders pattern - is a chart pattern that reverses from bearish to bullish.
