The reason why I want to do those two together is because they're both breaking out right now, we're starting to break out of an ascending triangle. This one we've been looking at here, we've been talking about how we have a 70 chance of breaking to the upside, about a 30 chance bringing to the downside and guys we're, not out of the woods yet we're gon na be looking at this. On the four hour time frame, and we still need more volume to really get up and through this horizontal stiff resistance that we've been dealing with for quite a while now. What I also want to do is give you some targets if we are to move to the upside to continue to make this happen, so we're gon na get into all this guys, you get some from this leg subscribe hit that notification bell. First of all, I want to run back here and just talk to you, quick about ascending triangles I'm gon na go through those seven bullet points very fast and then we're gon na get into all this. When you're. Looking at ascending triangle number one thing: you want to look at look for Peaks, that top out near the same price. So we have our horizontal top that's number one number two fine prices that make higher valleys prices should touch an uptrending up, sloping trendline drawn beneath the valley. So we have that in white there that's number two number three prices, much touch each trendline at least twice.
So we have that that's confirmed as well prices much cross the chart pattern from side to side, leaving little white space within the body of the pattern, so we have that allowed shot back and forth in this area. Next one, the two trend lines converge at a triangle: apex so we're dealing with that right now you can see we're starting to get a little bit of a break to the upside right. Now we still have some smaller candles here on the four hour time frame. We really want a big, strong move out of here, so volume we need to pay attention to. We did get some more on this initial candle close up above it, but we're gon na have to continue to watch that the next one volume trends downward. Seventy seven percent of time from the patterns start to the day before the breakout that's. Definitely what we had right here and then the last one a breakout occurs when price closes outside the trendline boundary and upward breakout occur. Seventy percent of time so right now we are having an upward breakout right now, but we need more volume and we need more force and what my books always talking about as well, when we're looking at this and we're targeting some different areas whenever you're looking for Saying ascending triangle or a chart pattern you don't want to pick one necessarily with stiff resistance right up above it. So this one right here we do have some stiff resistance.
Around wood called 8000 that's kind of where we had this little bear flag. We remove sideways, then we drop back down so that actually can hurt performance, sometimes in terms of how far you'll go before you get some type of a throw back. So we do have to be aware that we have overhead resistance at about 8000 and that's. Why? We need big volume coming in here to get up and through that our average rise. If we are to continue this strong move to the upside we're, looking at about a 37 rise on average, and that would take us back to around nine thousand six hundred and seventy dollars so we're gon na take a look at that as well. Then I also want to point out my book here: chart patterns was talking about how 57 the time we are going to have a throw back so 50, 157 percent of time, which is you know, important to pay attention to guys because it's more often than not, You'Re gon na have a break out of here and then you're gon na have a pullback to the area that you broke out on before you continue to the upside that's one option, the other option is you actually break out and you just keep running and then The other option is you break out and then you actually come back down through and this would be what's called a busted pattern. So we have to watch out for that, because you'll see that a lot in ascending triangles, typically they bring more to the upside, but sometimes you'll, see them break to the downside, they'll break down.
Actually, let me get my brush here, guys so we'll break down like this and then you'll actually pop back up through the top and then you'll keep running, and it can happen the other way you can break up real far for maybe about ten percent or so And then you can actually drop back down so that's, something that I'm always paying attention to in training. Busted patterns can be extremely beneficial for us, but what we need right now is continued volume to get up through here and that's. What we're gon na do is continue to watch this on the four hour time frame, so right now, it's a good thing, though, that we're starting to have for our candle closes up above this horizontal line of resistance. Remember how we put in our alerts yesterday or I'm. Sorry on Saturday, didn't get a video in yesterday, but on Saturday we put in our horizontal alerts and that's what I was getting this morning in the middle of the night. I was hearing alerts going off and that was us starting to cross up through this horizontal trend line there or horizontal resistance line. So that was definitely something I that's. Why I put in alarms, you can see right here is the little alarm for this overhead resistance. So that's definitely some whenever I put an alarms guys I put them in along with me and then my downside alarm here: we'd have it 6623 if we do start moving to the downside.
Remember this all on the four hour time frame and if we take a look at our stock RSI right now, we are getting up in some areas now that are getting a little overextended, but remember you can stay pegged out for quite a long time in this Upper region same with the lower region, so that's one that I just like to check. I like to watch but it's, not one that I always use all the time. Next one's gon na be a relative strength index where it's 71, so we are getting into that overbought territory, but remember guys we can get extremely overextended in crypto currency on the four hour. Sometimes the moves don't even happen till you get into that overextended area of 70 and then it blasts off on the four hour time frame up into the 80s so that's. Why? I really like to go off price action more so than indicators indicators can help. But for me it's all about price action, moving averages trend lines, that's the type of stuff I really like to pay attention to, and then we are getting a bullish cross right here on the MACD on the 400 hour to the upside, so that's really good there And then we'll take a look at her moving averages, so our 50 moving average on the 4 hour we're up above now, so that's good and then our 200. These are the main two we're gon na pay attention to.
We potentially have a Golden Cross that could take place here on the 4 hour time frame. If our 50 could cross up above our 200, you can see our death cross the last time we had it here. It was February 27 2020, and that was around 9500 and ever since then, you saw how low we got pushed so when these crosses happen, both to the upside look back. Here happened to 72 100. If you would have sold out when he crossed 9600 dollars. That'S, a great trade, so if we can get that nice strong Golden Cross to the upside on volume, guys that maybe could be enough to give us really running and get up above these areas, like I said, first area we're gon na target about eight thousand dollars, Then it really would be up here around that ninety two hundred dollars and ultimately around that ninety five hundred dollars we'd be looking at so that's Bitcoin, guys you get something from that like subscribe, hit that notification bell we're gon na move into like coin next we'll. Take a look at like coins, ascending triangle as well as these are the things I just want to put the odds in my favor that's, the anything that we're trying to do here and, as you can see as well in green for litecoin, we have our sending Triangle I got my alert we're starting to break up through this horizontal top same deal with Bitcoin, and now what we need is a four hour candle close up above this 200 moving average.
You see how we're trading up above it now so the direction. If we can close, there is up above that that's why candle closes are so important guys, because that could give us the ability to start running up next. We don't have a ton of overhead resistance. Here we could make a nice strong move. We could end up at 51 pretty fast if Bitcoin can continue its move. Remember everything's predicated off Bitcoin. We always have to watch Bitcoin, but I love to see that we're finally up above that 50 we're. Finally, up above that 200, now we need those candle closes up above it. We need to make that next move even up to around 47 dollars and up to 51 dollars and that's the name of the game, guys that's, how it works, that's, how it happens. You have to break through old resistance and then turn it into support, so what we're gon na do for litecoin next here I want to take a look at the one day, time frame, so we're gon na bounce out from the four hour. So this is the four hour same deal like with with Bitcoin I'm, not going to go over everything for the ascending triangle again, because you guys should have been listening and I'm sure you were for Bitcoin about the ascending triangle, all the characteristics you're looking for, but Still downside alert here, we're at 37 24, which I'm actually gon na, move that up a little bit.
I want to move that to about ' 50 we'll put that there and then my upside alert. I want to see once we get up to about 47 dollars and 36 cents, we're gon na add an alert there. Hey guys just remember this is the time you know you really got ta wait for that confirmation. A lot of people want to wait for a daily candle close up above that horizontal resistance on some volume, because you can always have those fake outs. Remember just like over here where we tried to break up through this long wick, and then we got pushed back down so it's great that we're seeing this, but we need continuation. We need follow through that's what we're looking for and then on the one day. Time frame it's a nice little candle coming in here if we could close a daily candle close up above that horizontal line, that may be enough to really get us back up to this 50 moving average, where we could back test it on the one day. Time frame and that's at fifty dollars, so that could be a seven dollar move even from here to that 50. Even if we just back test that and see rejection off that and that's also correlating with this 51 overhead resistance here. But if we could get a candle like, we have right now if it could close like that today, on some heavier volume. That would be what we want to see.
That'S the breakout guys, whenever a candle close I'm going to talk about this again whenever a candle closes below a trendline. You see this white trend line. We got a candle close below it. What happened after that? Do you see it and same down in here? If we had a candle close below this lower trendline that's, when you'd be out of your position and now that we're having a candle close up above a lot of people, if we can get that candle, close we'll jump in at that area, now try to ride That up, because we have an average rise, a lot of times of about 37 – is what you're gon na get out of these ascending triangles. But we still have to be careful because we do have this death cross up above us right here where our 50 is crossing down through our 200. So we do have to be aware that and then, in terms of looking at indicators, we'll take a look at our stock stocks, overextended on the one day, we're at 95 and 97. So we need to be aware of that. We have not gotten a downward cross on it, though so that's something you need to pay attention to and then we'll take a look at our relative strength, relative strength, pointing north here and we're at 51, so we're not too overextended on the one day, time frame, There'S definitely more room to run there and then at our MACD.
You can see we had that bullish cross and ever since then, we've really just been slowly moving up just slowly. Moving up grinding up that trendline, hey guys, whenever you're looking at trend lines to the farther away, you get from trend lines, the more powerful or them or the stronger. The move is the closer you are to the trend line, the more even things are, and you're just grinding up and you'll see that fight between the Bulls and the Bears, and then, if we pull up our trading view here, I like I know a lot of People like to take a look at trading view or throw in more neutral signs, we're looking at 8 for a sell 10 for a neutral 10 for a buy, and this is on the one day. Oscillators one sell nine neutral one buy and I apologize. If you can hear my son out there screaming guys I'm in my office, but I just got a little door here: he's out running around he's up this morning and then moving averages, seven sell one neutral, nine buy and what you can see now on the shorter Timeframes, you're starting down the fives on the tens, even on the twenty now simple moving average we're starting to get those buy signal and that's. What you want to see, and then over here with all the oscillators we're, getting those neutral signals, as you can see so guys. I went a little long here, but I just really wanted to get you some detail here.
We need a nice strong candle close up above that today that's what I'm looking for. We need that continuation let's see if we can get an upside breakout of this ascending triangle. So just be careful guys, still guard yourself wait for that candle closed and let's see what can happen. God bless.