Bitcoin SV Analysis – Broken triangle and a buy signal

Time to analyze Bitcoin SV, so a new Bitcoin created after another hard fork, this time hard fork on the Bitcoin Cash. Many traders had big hopes about this project but I bet that the recent price movements do not keep them satisfied.

Since the 17^th of November, till yesterday, the price was closed inside of the symmetric triangle pattern (black lines). This formation shows us a decreasing range and volatility. The way how you trade this is to wait for the breakout. If the price breaks the upper line, that is a buy signal, if the price breaks the lower line, that gives you a sell signal. In our case, yesterday, the price broke the upper line of this formation. What is more, BSV broke the horizontal resistance from the 26^th of November and 7^th of December (red). That can be perceived as an additional bullish factor.

Friday ends with the small reversal and the test of the recent resistance as a closest support. As long as we stay above the red area, the signal to go long is alive. Price coming back below will mean a false breakout and will be a legitimate signal to go short.