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Bitcoin – How many wedges more? Short trade low risk high reward for BINANCE:BTCUSDT by Ether2020

A lot of bearish rising Wedges!

Dear friends

You see here the 4 hour chart of Bitcoin .
Bitcoin is moving in a falling trend channel and has tried several times to break out of this channel but has not succeeded so far.

There are now 2 patterns formed. A reversed head shoulder formation and a bearish rising wedge .

We see the effect of these bearish wedges in the chart and I think the reversed head shoulder formation will possibly fail. That is not sure of course.

By the way friends, remarkably all the wedges in this chart all broke out to the downside with a downleg so why would it this time be different? Also note the volatility is very low. An explosion is coming for sure. Check this with the bollingerbands and you see what I mean.

If Bitcoin goes through the stop at 33443 then I expect at least a target of 36600 usd. Beware though because bull traps have been many and it could happen here too. The big boys make a game out of it to mislead every trader, therefore, also keep an eye on the trading volume .

On a break down from the rising wedge I see the old low again as a target at 28800 but if Bitcoin goes below that, we will get an acceleration to 25000 as the first target. Note an uptrend there is a pullback, not a trend reversal.

In short

– Upon breakout of the orange trendlineand after a re-test of this tread line LONG to 36600. Risk exists for a bulltrap.

– Upon breakout of the wedge downwards probably a continuation of the decline to the old low at 28800.

This trade has a tight stop loss when compared to the target so it is a low risk high reward trade. Also possible of course is not going short and in the meantime park your money in a stable coin like USDT.

Please share your thoughts and idea’s below dear friends. What do you think and why do you think it with or without a chart.

I wish you all good luck with trading!

Disclaimer This is my view, no advice to buy or sell. Also always do your own research!

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