Bitcoin is bouncing off support at the bottom of its descending channel on the 1-hour time frame and a small reversal pattern is also forming. An inverse head and shoulders can be seen and a break above the neckline could confirm that a rally is in the works. However, the 100 SMA is still below the longer-term 200 SMA to indicate that the path of least resistance is to the downside. In other words, the downtrend is more likely to gain traction than to reverse. Then again, the gap between the moving averages is narrowing to signal weakening selling pressure and a potential upward crossover. If so, bitcoin could gain ... (full story)