what happened:
Double Top Formation:
A bearish reversal pattern is marked, showing two peaks at similar levels.
After completing the pattern, the price dropped sharply to meet the "target of double top" near $3,150.
Now:
Symmetrical Triangle:
The price is consolidating in a symmetrical triangle pattern.
This pattern is typically neutral and indicates potential breakout opportunities, either upwards or downwards.
Resistance Levels:
$3,550: This is the horizontal resistance line formed by the upper boundary of the triangle and previous consolidation highs.
$3,870: The "target of triangle" is projected upon a potential bullish breakout, calculated by measuring the height of the triangle.
Support Levels:
$3,320: Immediate support is found near the ascending trendline forming the triangle's lower boundary.
$3,150: Previous support zone after the completion of the double top.
Price Projection:
Bullish Scenario:
If the price breaks above $3,550, the next target is $3,870, aligning with the triangle breakout target.
A continuation of the uptrend could follow as higher lows are forming.
Bearish Scenario:
If the price breaks below $3,320, the next support is near $3,150.
A further decline could lead to retesting $2,960 or lower.
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Current Outlook:
The price is moving sideways within the triangle, reflecting a phase of indecision.
Traders should watch for a breakout above or below the triangle to confirm the next trend direction.