"Bearish Reversal Opportunity Following Supply Zone Rejection"1. Double Top Formation (Resistance Level Identified)
The chart displays a clear double top structure at the 2,760–2,800 USDT level.
This level has acted as a strong supply zone (highlighted in red), where price previously reversed, indicating heavy selling interest.
Current price action has retested this resistance zone and shown signs of rejection.
2. Liquidity Sweeps & False Breakouts
On the left side of the chart, an aggressive downward wick (marked with a blue arrow) suggests a liquidity sweep below a key low before strong bullish momentum returned.
This type of price action indicates smart money involvement, designed to remove weak hands before pushing price higher.
3. Accumulation Phases (Sideways Consolidation)
Multiple accumulation ranges are highlighted with blue rectangles.
These ranges show horizontal consolidation, where price builds up energy before breakout.
The most recent breakout led to a vertical rally toward the resistance zone, signaling an end of the accumulation and a start of distribution.
4. Double Bottom Support Structure
Identified near the 2,480 level, marked by red circles.
This level has historically acted as demand/support, evidenced by multiple bounces from this price zone.
Now highlighted with a grey zone, it is projected to act as the next key support area.
5. Bearish Projection
A large black arrow suggests a forecasted bearish move from the current high (~2,800) back to the support zone (~2,480).
This aligns with the idea of a mean reversion or pullback after a strong bullish impulse.
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Conclusion & Trade Idea:
🔻 Bias: Bearish (Short-term)
The chart presents a classic reversal pattern with a double top at a well-defined supply zone.
Entry could be considered after confirmation of rejection from this level.
🧠 Trade Plan Suggestion:
Entry: Short near 2,780–2,800 after bearish confirmation (e.g., bearish engulfing candle or break of structure).
Target: 2,480 (support zone).
Stop Loss: Above 2,820 (recent high).
Risk-Reward: Approximately 1:2.5 or better depending on execution.
