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DESCENDING TRIANGLE FORMATION (bearish scenario, short term) BTC for FTX:BTCUSD by YurloTrades

A descending triangle is a bearish chart pattern used in technical analysis that is created by drawing one trend line that connects a series of lower highs and a second horizontal trend line that connects a series of lows.

The last several weeks have been incredibly tricky in terms of technical analysis and finding a clear edge, why? We’ve seen fake outs to the upside and downside and remain in this same range ($30,000 – $40,000) and this pattern is a result of all the sideways PA.

The descending triangle is recognized primarily in downtrends and is often thought of as a bearish signal. As you can see in the above image, the descending triangle pattern is the upside-down image of the ascending triangle pattern. The two lows on the above chart form the lower flat line of the triangle and, again, have to be only close in price action rather than exactly the same.

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KEY TAKEAWAYS:

1) In technical analysis , a triangle is a continuation pattern on a chart that forms a triangle-like shape.

2) Triangles are similar to wedges and pennants and can be either a continuation pattern, if validated, or a powerful reversal pattern, in the event of failure.

3) There are three potential triangle variations that can develop as price action carves out a holding pattern, namely ascending, descending, and symmetrical triangles.

Won’t be posting another technical analysis until we get a resolution to either the upside or downside which my current bias is leaning towards.

There’s also the Binance FUD, and fundamentally crypto needs to wipe out the scammers, shady individuals and just the overall negativity throughout the space.

The tether scandal is always a big deal, and something you won’t want to forget about because one day it can all come crashing down.

Market cycles all have a way of in cooperating FUD into bear markets, because institutions and whales know retail will eat the narrative up and give them the upper hand until they get levels low enough to set the macro low, then slowly but surely the bullish news will start again and the money printer will go brrrrr.

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