Technical analysis by Michael-trades- about Symbol BTC: Sell recommendation (4/12/2025)

📊 **Chart Overview:**- **Asset:** Bitcoin (BTC) / U.S. Dollar (USD)- **Exchange:** BITSTAMP- **Timeframe:** 3-Hour (3h)- **Date Published:** April 12, 2025---### 🧠 **Technical Pattern Identified:**The chart showcases a **Head and Shoulders** pattern, typically a bearish reversal signal.#### 🟠 Pattern Components:- **Left Shoulder (L.S):** Marked with a yellow circle, located around April 7.- **Head:** The lowest dip, around April 9.- **Right Shoulder (R.S):** Forming near April 12, aligning with the resistance level.- **Neckline (Support):** Highlighted by a horizontal purple support line around the 78,000 level, tested multiple times.---### 🟪 **Key Levels:**- **Resistance Level:** Around the 85,000–85,900 zone, shaded in purple. Price has tested this zone and faced rejection.- **Support Zone:** Highlighted twice—first below the left shoulder and again below the head—around the 76,000–78,000 range.---### 📉 **Trade Setup (Short Position):**- **Entry:** 84,630- **Stop Loss (SL):** 85,900 (placed slightly above resistance zone)- **Target:** 76,100 (near the neckline support)This setup assumes the price will drop after forming the right shoulder, completing the H&S pattern.---### 🔁 **Risk/Reward Insight:**- **Short Entry** is initiated just below the resistance zone.- **Stop Loss** is tight, above the potential breakout level.- **Target** offers significant downside potential, aiming for a major support level.- **Risk-to-Reward Ratio** appears favorable (roughly 1:5 or better).---### 🟢 **Other Observations:**- Candlestick behavior suggests strong selling pressure near resistance.- The support zone has held multiple times, reinforcing its significance.- The chart uses clean labeling and highlights to make pattern recognition clear.📌 **Current Chart Status (as of April 12, 2025):**Based on the 3-hour BTC/USD chart you provided:---### 🟠 **Pattern Development:**- The **Head and Shoulders pattern** is nearly complete.- **Price is currently at $84,592**, just below the **resistance zone** (~$85,000–$85,900).- This suggests the **Right Shoulder (R.S)** is likely forming or already formed.---### 🧭 **Trade Entry:**- **Short position** has been triggered at **Entry: $84,630**.- Price is slightly below the entry now → **$84,592**, indicating the trade is in **minor profit**.---### 🛑 **Stop Loss:**- Set at **$85,900** — price hasn’t reached this level yet.- As long as BTC stays below the resistance zone, the **bearish setup remains valid**.---### 🎯 **Target:**- **Target: $76,100**- Still a significant distance away, indicating a good **risk-to-reward** if the bearish move plays out.---### ⚠️ **Risk Factors to Monitor:**- A break above $85,900 (Stop Loss zone) would **invalidate the setup**.- If BTC consolidates at resistance without breaking down soon, the pattern might **fail** or **retest** higher levels.---### ✅ **Conclusion:**- **Status:** Trade is active and slightly in profit.- **Bias:** Bearish (while below resistance)- **Action:** Monitor closely for rejection confirmation at resistance or any sign of reversal.