1INCHUSDT (1INCH) - PRICE ACTION ANALYSIS

ANALYSIS 🔎
- This analysis is a price action prediction on 1INCHUSDT.
- This analysis comprises of two setups.

FIRST SETUP (RETRACEMENT)
- The retracement
- 1INCHUSDT hit an ATH and is on verge of a short term retracement.
- The market is consolidating in a rectangular pattern.
- This rectangular consolidation pattern is known as the distribution phase (wyckoff method).
- According to Wyckoff method, the distribution phase is a pre downtrend phase (bearish build up phase).
- Price action is printing the double top pattern.
- A double top pattern is a bearish reversal pattern.
- RSI is printing a bearish divergence signal.
- Breakdown below the double top neckline support and the distribution phase horizontal support level could lead to a retracement to the ascending trendline support, flip horizontal support and fibonacci retracement levels confluence.
- Sell entry ⬇️ : breakdown below the distribution phase horizontal support level.
- Targets 🎯 : fibonacci retracement levels, ascending trendline support, flip horizontal support.
- Setup invalidation : breakout above the distribution phase horizontal resistance level.

SECOND SETUP (UPTREND CONTINUATION)
- The uptrend continuation.
- This setup remains valid if the first setups plays out as expected (the retracement happens).
- At the test of the fibonacci retracement levels, ascending trendline support confluence and flip horizontal support level, the market will experience a relatively high buying force (concentration of buyers).
- This buying force could lead to the uptrend continuation.
- Buy entry ⬆️ : fibonacci retracement levels, flip horizontal support, ascending trendline support.
- Targets 🎯 : horizontal resistance level (R1), ATH resistance, Fibonacci extension levels.
- Setup invalidation ❌ : breakdown below the ascending trendline support.

Enjoy 🥂