Breaking through the lower trendline puts the leading diagonal discussed last week in play. Minor wave 1 of 3 should be complete. Expecting a 2nd wave retracement to end within the blue circle. If we break below .073 then this scenario is wrong.
Ultimately, a leading diagonal is bullish, and suggests the larger trend is higher. If correct, we should get strong performance to finish the year. See the prior article predicting a crypto pullback likely to coincide with timing of the election.
Here’s a closer look of the leading diagonal followed as it developed. Note, we were weighing probabilities of an ongoing wave 3 with a leading diagonal.
Happy Trading!