An inverse head and shoulders, also called a "head and shoulders bottom", is similar to the standard head and shoulders pattern, but inverted: with the head and shoulders top used to predict reversals in downtrends.
This pattern is identified when the price action meets the following characteristics: the price falls to a trough and then rises; the price falls below the former trough and then rises again; finally, the price falls again but not as far as the second trough. Once the final trough is made, the price heads upward, toward the resistance found near the top of the previous troughs.
I’m waiting for the breakout from the neckline which should be followed by increased volume. An inverse head and shoulders pattern, upon completion, signals a bull market. I’ll go long on the breakout and target $63 level. If Bitcoin stays in range, FTT should move to the upside.
This pattern is identified when the price action meets the following characteristics: the price falls to a trough and then rises; the price falls below the former trough and then rises again; finally, the price falls again but not as far as the second trough. Once the final trough is made, the price heads upward, toward the resistance found near the top of the previous troughs.
I’m waiting for the breakout from the neckline which should be followed by increased volume. An inverse head and shoulders pattern, upon completion, signals a bull market. I’ll go long on the breakout and target $63 level. If Bitcoin stays in range, FTT should move to the upside.