Bitcoin Broke Its Key Level: Here’s What Comes Next
In technical analysis, descending triangles that are long in nature tend to forecast a big move. The reason for this is the downward move that is flushing out the weaker hands will eventually reach a support line.
It is at this point that the market has a decision to make. With the weaker hands gone, if the bottom of the triangle does hold, the reversal of trend is usually powerful.
The challenge is if the support level does not hold. Breaching this means the remaining hands are suddenly full of fear because the drop is powerful.
Yesterday, bitcoin, which was in a long descending triangle broke out to the downside. The move, as everyone knows, was fierce.
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