Charting Crypto Symmetrical Triangles
Im currently adding a position into the (POS) proof of stake coin OPC. It has a very good community, strong dev team, and the rewards for staking are very high and will only continue to get higher. Im using stake united instead of OPC wallet to gain my coins. So far the results have been great. The coins stakes every 10 hours and its daily rate of return is 3%.
Recently the coin has been stabilizing and forming a symmetrical triangle. A symmetrical triangle usually forms during a continuation pattern and then moves to the upside upon breakout of the triangle. The triangle needs two lower highs followed by two higher lows to confirm the pattern. When those points are connected it confirms the trend. The image below is a textbook symmetrical triangle taken from investopedia.
The more connections (lower highs, higher lows) typically the stronger the trend and break out. This also bares true if the duration with which the triangle forms is over a longer period. A four to 6 week symmetrical triangle would be a strong confirmation of a continuous move upward. With crypto the triangle formation doesn't need to be that long. Crypto tends to be more accelerated when compared with stocks.
Below we can see OPC forming a symmetrical ( almost an ascending triangle ) which is also a bullish sign! With the symmetrical triangle note that volume must also be declining as the triangle begins to take shape. A big spike in volume towards the point of the triangle will see a break to the upside and a move out of the triangle.
This is a 4 hour chart, log scale, that has been forming since around Jan 21st. Im expecting a move from 750 satoshis into the realm of 950. The move upwards after the breakout is usually the same as the base of the symmetrical triangle, or the largest candle within the pattern. As show below.
Good luck - Hope this was helpful if you were unsure about symmetrical triangles. Hopefully this can confirm the move up for OPC also.
As you were
For more on OPC https://coinmarketcap.com/currencies/op-coin/
Their website https://coinmarketcap.com/currencies/op-coin/
For great staking pools for OPC https://www.stakeunited.com/
On symmetrical Triangle patterns http://stockcharts.com/school/doku.php?id=chart_school:chart_analysis:chart_patterns:symmetrical_triangle_continuation