đš Bitcoin Analysis: Wyckoff Distribution Pattern on 1-Hour Chart
đ After analyzing Bitcoin ($BTC) on the daily chart and reviewing the technical data (see previous analysis), I decided to take a closer look at the hourly chart for a better understanding of short-term market movements.
đ In this analysis, Iâve identified a clear Wyckoff Distribution pattern forming. This pattern is often seen in the final stages of an uptrend before a major reversal. Previous analysis suggested a potential correction, and this pattern confirms those expectations.
Key Phases:
đž Theory: According to the Wyckoff Distribution, we are now in Phase B, the stage before Phase C, where the price is tested. At this point, there is a balance between supply and demand, and the market is waiting for a big move.
đč Phase A: This was the "shakeout" phase, where the market liquidated positions and attracted liquidity.
đč Phase B: Weâre currently seeing a tug-of-war between buyers and sellers between the $67,000 and $68,800 levels, which suggests a distribution among traders.
đč Phase C: We expect to enter this phase soon. During this phase, we might see a false rise known as UTAD (Upthrust After Distribution), where the price spikes up before reversing.
What to Expect:
If Bitcoin fails to break above $68,800 with a strong candle on the hourly chart, we may see a reversal, leading to a drop to $65,000 and then possibly $62,000, as noted in previous analysis.
âïž Key Insight: If this scenario plays out, the market will enter the LPSY (Last Point of Supply) phase, the final stage before a significant decline.
đ Conclusion: Keep a close watch on the $68,800 level to determine the next trend. Set stop-loss orders and be prepared to act accordingly.
đĄ Stay tuned for more analysis as we cover future market moves based on Wyckoff patterns and recent developments.
