POLYBTC

POLYBTC

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Gradually moving up to make some new highs. Price is currently moving down after reaching a high of 0.00010202sats. To determine the movement of price, the chart pattern and Divergence will be used to check that.

THE FALLING WEDGE CHART PATTERN

The falling (or descending) wedge can also be used as either a continuation or reversal pattern, depending on where it is found on a price chart.
The following will show you how to identify the pattern and how you can use it to look for possible buying opportunities.
   Identifying the falling wedge pattern in an downtrend:
If the falling wedge appears in a downtrend, it is considered a reversal pattern. It occurs when the price is making lower highs and lower lows which form two contracting lines.
The falling wedge usually precedes a reversal to the upside, and this means that you can look for potential buying opportunities.
   Identifying the falling wedge pattern in an uptrend:
A falling wedge found in an uptrend is considered a continuation pattern that occurs as the market contracts temporarily. It indicates the resumption of the uptrend.
Again, this means that you can look for potential buying opportunities.
Once you have identified the falling wedge, one method you can use to enter the pattern is to place a buy order (long entry) on the break of the top side of the wedge.
In order to avoid false breakouts, you should wait for a candle to close above the top trend line before entering.
Price trend Can be any direction leading to the pattern.
The Shape of the Price follows two down-sloping and converging trendlines.
Touches    Price should touch each trendline at least five times to outline a good pattern. That's 3 touches of one trendline and 2 of the opposite. Volume Trends downward 72% of the time until the breakout.
Breakout Can be in any direction but is upward 68% of the time and The pattern confirms as a valid one when price closes outside one of the trendlines. as shown below:

 And lastly THE REGULAR BULLISH DIVERGENCE

A regular divergence is used as a possible sign for a trend reversal. If price is making lower lows (LL), but the oscillator is making higher lows (HL), this is considered to be regular bullish divergence.
After establishing a second bottom, if the oscillator fails to make a new low, it is likely that the price will rise, as price and momentum are normally expected to move in line with each other.


Technicals suggests that price is currently maintaining its down trend, and reversal is likely to take place soon.

VERDICT:

BUY: 0.00008576sats

SELL: 0.000010772sats

STOP LOSS: 0.00007542sats

 

Disclaimer: This is for educational purposes,it is not intended as a financial advice.
The analyst won't be responsible for a loss of fund. Trader should be able to manage risk.

$COV HODL

 

 

 

 

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