The post Historic cup and handle pattern spotted — is BTC set to skyrocket? appeared on BitcoinEthereumNews.com.

Over the last six months, Bitcoin (BTC) has been trading in a range that is getting progressively tighter. During this period, prices have ranged from a high of $73,100 to a brief low of $53,960 — as of press time, the world’s largest cryptocurrency has shed 11.78% of its price, taking a notable bite out of the 40.10% year to date (YTD) rise. In a TradingView post on August 27, technical analysis expert and trader MetaShackle suggested that “BTC is forming an absolutely massive Cup & Handle on the Daily/Weekly chart. There has never been a formation like this in the history of crypto, and it’s sure to be an incredible run to levels that will shock the world.” BTC 3-year cup & handle pattern. Source: TradingView / MetaShackle What is a cup and handle pattern? A ‘cup and handle’ is a long-term, bullish chart pattern that traders use to find opportunities when an asset’s price will break out to the upside. Like with all chart patterns, the name is a node to its shape — with the pattern consisting of a ‘cup’ with a rounded bottom, followed by a smaller reversal to the downside which acts as the ‘handle’. There are a couple of ways to determine how legitimate the pattern is. In general, the more even the cup, the better — and the handle should not retract to more than one-third of the cup’s depth. Should the handle retract to half the cup’s depth, the chart pattern is considered false. In terms of entry points, traders use a simple rule of thumb — price targets are set by taking the depth of the cup and adding it to the point where the handle breaks its resistance level. Is a Bitcoin breakout coming? Although it is too early to…

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Filed under: News - @ September 3, 2024 4:27 pm