$BTC A double bottom is also a trend reversal pattern, but this time we will choose to go long instead of short. This pattern occurs after a second decline in price, when two "troughs" or bottoms have formed.
You can see from the chart above that after the previous downtrend, the price formed two troughs as the price struggled to fall below a certain level. Note that it is difficult for the second bottom to significantly fall below the first bottom. This signal indicates that selling pressure is about to end and a reversal is about to begin.
Do you see it? The price breaks through the neckline and moves up nicely. Notice how the price moves up almost as high as the double bottom. Remember, like the double top, the double bottom is also a trend reversal pattern. You will see this pattern after a strong downtrend.
