We've seen a very huge run since the bounce of my previous covered zone as a support, making bitcoin once again forming a higher high pattern. This 4 hours time frame actually is very interesting to see, It's not just a key time frame of swing trader but also for bitcoin especially, the previous major movement that we get, it mostly had a confirmation on the 4 hours time frame.
In this current chart work, We can see that the price is now touching the gray level as it's a very strongest resistance which previously acted as broken support. I want to give highlight at the RSI on 4 hours timeframe, it's now challenging the overbought region and the previous peak of the RSI. And if you've followed me since a long time, you might understand what I'll expect in this market structure.
Yes, It's the higher high on the price and lower high on the RSI and MACD histogram with a bearish pattern followed. If this comes true, I'll very confidence to open short position. But, I tell you if this is the case! There is still another scenario that we can expect if the price breaks out of current resistance, it will bring the crypto market to higher range and will easily invalidate my WXYXZ pattern.
For now, I want to keep an eye tpcurrent region and potentially the green region as a possible liquidation zone for the shorts.
In this current chart work, We can see that the price is now touching the gray level as it's a very strongest resistance which previously acted as broken support. I want to give highlight at the RSI on 4 hours timeframe, it's now challenging the overbought region and the previous peak of the RSI. And if you've followed me since a long time, you might understand what I'll expect in this market structure.
Yes, It's the higher high on the price and lower high on the RSI and MACD histogram with a bearish pattern followed. If this comes true, I'll very confidence to open short position. But, I tell you if this is the case! There is still another scenario that we can expect if the price breaks out of current resistance, it will bring the crypto market to higher range and will easily invalidate my WXYXZ pattern.
For now, I want to keep an eye tpcurrent region and potentially the green region as a possible liquidation zone for the shorts.
