I wanted to try and figure out what pattern this recent price action was forming, and I realised that there seems to be a sort of diamond shape.
- Diamonds can form as both 'tops' and 'bottoms', so the only way to know is to wait for a clear break of the shape.
Where BTC is right now ($7970) it looks like it needs to hold the bottom support and create a large wick, showing some defence from bulls in that region.
My only concern about this shape is that bitcoin has been creating higher lows since the 27th of September. So this might suggest a possible channel or rising wedge of some kind, although the shape does not seem clear as of now.
What are your thoughts? Is this a potential diamond pattern?
- Diamonds can form as both 'tops' and 'bottoms', so the only way to know is to wait for a clear break of the shape.
Where BTC is right now ($7970) it looks like it needs to hold the bottom support and create a large wick, showing some defence from bulls in that region.
My only concern about this shape is that bitcoin has been creating higher lows since the 27th of September. So this might suggest a possible channel or rising wedge of some kind, although the shape does not seem clear as of now.
What are your thoughts? Is this a potential diamond pattern?