BTC/USD

29 May

A Bearish Butterfly pattern is another type of harmonic chart pattern that signals a potential reversal in an uptrend, indicating a selling opportunity. This pattern is also defined by precise Fibonacci retracement and extension levels. Here's a detailed breakdown of the Bearish Butterfly pattern:

Structure and Fibonacci Levels
X-A Leg: The initial leg of the pattern.
A-B Leg: Retraces 78.6% of the X-A leg.
B-C Leg: Retraces 38.2% to 88.6% of the A-B leg.
C-D Leg: Extends to 127.2% or 161.8% of the X-A leg.