Bear Trap in Bitcoin

A bear trap may have been sprung in Bitcoin over the weekend as a breakdown through the neckline of a bearish head & shoulders pattern triggered on Friday, targeting a move down to the $7,800 area. However, buyers came in to snap up Bitcoin at bargain prices on Sunday and that buying has continued this morning with a test up as high as $8,825 this morning. The stage is now set for a bull trap if price can get back above $9,000:

Bitcoin (4 Hour)

A further move up to the $9,400-$9,600 area would be the minimum upside objective, and there would be a very good chance of a retest of $10,000 over the next few weeks.

 

DISCLAIMER: The work included in this article is based on current events, technical charts, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decision based solely on what you read here. This publication contains forward-looking statements, including but not limited to comments regarding predictions and projections. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The views expressed in this publication and on the 321Ethereum website do not necessarily reflect the views of 321Ethereum LLC, publisher of 321Ethereum.com. This publication is provided for informational and entertainment purposes only and is not a recommendation to buy or sell any security. Always thoroughly do your own due diligence and talk to a licensed investment adviser prior to making any investment decisions. Cryptocurrencies can easily lose 100% of their value. It’s your money and your responsibility.

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