The Bart Pattern – What is it?
I’ve been trading for a few years, everyone once and a while there comes a silly name for a market pattern or market anomaly. For cryptocurrencies, it’s the Bart, or sometimes called the Bartley (a play on Gartley harmonic patterns).
The Bart Pattern looks like this.
And the reason for the name comes from:
It’s actually quite funny and silly. I admit to laughing whenever I see a post or tweet about the ‘Bartley’ pattern. Such a nerd thing to laugh at.
But what is important to recognize is the behavior of that pattern. The pattern appears due to one or many orders being executed immediately. Whether this is a ‘fat finger’ order (old and funny stock trading term) or a coordinated order, it is not common to only cryptos. It’s indicative of institutional activity and it follows a very common process:
It’s a pattern that repeats itself. Now, the trick is to determine which direction the maker wants the market to go. Generally, when we see deeper initial price thrusts, we know prices are being led lower and the inverse for higher prices. The behavior over the last week is one of indecision, it is not clear where the direction is going. We need to be careful about assuming the desire is to move higher because we are right up against an important resistance zone, only after the Bitcoin breaks the 7500 value area and Ethereum breaks the 700 value area would we have a clear bullish change.