Chart of the Day – Friday, March 22, 2024
Patrick Dunuwila
The Chart Report
1 year ago
1 MIN READ
#Bitcoin is carving out a potential head-and-shoulders pattern month to date.
A break of the neckline at $61K projects a measured move target down toward $50K.
pic.twitter.com/BnQfwV0rBe
— Matt Weller CFA, CMT (@MWellerFX) March 22, 2024
Today’s Chart of the Day was shared by Matt Weller (@MWellerFX).
- Bitcoin has pulled back -13% over the past 10 days from a record high of $73k to $63k.
- Matt points out that Bitcoin has spent the entire month forming a potential Head & Shoulders top. Breaking the neckline at $61k would open the door to -18% downside to $50k in the coming days/weeks.
- On a more optimistic note, it will be very bullish if this bearish pattern fails. For example, the ongoing rally in $NVDA began as a failed Head & Shoulders top in October.
The takeaway: Bitcoin has formed a potential Head & Shoulders top over the past three weeks. Breaking the neckline at $61k would imply a downside target near $50k. On the other hand, if this pattern fails, it could spark a sharp reaction higher.
The post Chart of the Day – Friday, March 22, 2024 appeared first on The Chart Report.
