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A guide to spotting bullish reversals in crypto trading by identifying liquidity sweeps, where price dips below a previous low then rebounds sharply. This pattern signals a shift in order flow and helps traders set targets for the next move up.
A guide to spotting bullish reversals in crypto trading by identifying liquidity sweeps, where price dips below a previous low then rebounds sharply. This pattern signals a shift in order flow and helps traders set targets for the next move up.
Another thing that is worth noting is the fact that you have a bullish liquidity sweep right here. This is a previous swing low that got taken out, followed by Price giving you a really strong reaction right after. This is known as a broken base. And for those of you who are familiar with the broken base, this is one of the highest probability kind of reversal signals that exists. Essentially, Price has taken out the sell side objective and is showing an immediate willingness to, you know, change the order, flow towards the upside. This is very much rooted in smart money trading, and this is something that we look for when it comes to, you know, confirming that, hey, there is indeed bullish or like a willingness for market participants to be bullish.
