Daily Bitcoin/BTC Price Action Review (02 Mar 18)

This is not Financial advice: Do not trade or invest based on this analysis.

Following on from yesterday's review (here), the mid term downward trendline (red - dashed) has been clearly broken and now the BTC price is testing $11,000.

The break was confirmed by the price closing just above the trendline on the daily chart:

However I'm still not seeing a convincing uptick in volume to give me confidence that this move has got legs.

I expect the price now to chug up to the neckline (N/L) of the prospective inverted Head and Shoulders pattern (@$12,000) and then either break through convincingly (setting a upside price target of about $17,000) or experience a pull back to the (now broken) downward trendline to find support.

This second scenario, whilst less bullish in the short term, may form a triangle pattern (price squeeze) on the right shoulder, symmetrical with the left, which would strengthen the case for the inverted head and shoulders pattern to complete.

My bias remains bullish for now, looking for the test of $12,000 and spike in volume.

Until tomorrow,

Bobby.