BTC current encloses a symmetrical triangle, which arose after the corrective leg and it seems that the risk of further decline remains. Trading a triangle is risky and the price can close in either direction. However, let’s take a look at the current price behavior in this ongoing chart pattern.
As we can see on the chart below, during this sideways structure they prevail bullish volumes. In reality, the price can exceed even resistance but also support. If the price overcomes the resistance of the triangle, we target $23,000. There is a zone of long-term resistance at which growth can collapse.
BTC completes the triangle. Source: TradingView
BTC completes the triangle
On the other hand, if the price manages to overcome support triangle, it is quite possible that it will attack the last long-term low $17,600. In both scenarios, the price will remain at sideway structure. However, closing the triangle can help identify who has the short-term upper hand in the market, if they are buyers or the seller.
In the short term, we will therefore expect continuation of the sideway structure. From a medium-term perspective, there is still a risk of creating another one corrective wave. The most significant long-term support is on the level of $12,000.
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