The rounded top and bottom chart pattern appears when the price of an asset reaches a certain level and then pulls back before retaking that level. This chart pattern can be either bullish or bearish, depending on where it occurs in the market cycle.
This crypto chart pattern typically occurs right before a trend reversal. The âtopâ pattern signals a possible bearish reversal, creating a potential shorting opportunity. The âbottomâ pattern is the opposite and often precedes a reversal from a downward trend to an upward one.
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