This classic trading pattern shows that the price of Bitcoin has reached its peak Author: Cointelegraph


This classic trading pattern shows that the price of Bitcoin has peaked

Traders tend to pay too much attention to the right time to enter the transaction, but seldom pay attention to formulating strategies to exit positions. If you sell too early, you will leave considerable gains. If you hold the position for too long, the market will quickly recover profits. Therefore, it is necessary to confirm and close the transaction immediately when the trend starts to reverse.

A classic setting that is considered reliable in detecting trend reversals is the head and shoulders (H&S) mode. In a long time frame, H&S patterns are not often formed, but once they are formed, traders should pay attention and take corresponding actions.

Head and shoulders pattern. source: Transaction view
Daily chart. source: Transaction view
BTC/USDT daily chart. source: Transaction view
ADA/USDT daily chart. source: Transaction view
ADA/USDT daily chart. source: Transaction view