I've noticed that many traders ask about the Adam and Eve pattern and how to deal with it, so I decided to share the idea in a simple way.

The pattern typically appears at the end of a downtrend and gives you a very strong signal that the price is about to rise. The idea is that you see two different lows: the first sharp and very steep (Adam), and the second more rounded and gradual (Eve). When this happens, the market is often unable to break the first low again, indicating that selling pressure is starting to weaken.

Conditions that will make you confident in the pattern:

First, the ideal formation period is from two to six weeks, it can be a bit longer but not less than two weeks. Therefore, I recommend analyzing it on higher timeframes to see the bigger picture more clearly.

Second, the rounded low (Eve) should be at least 10% higher than the sharp low (Adam), with the ideal difference around 20%.

Third, the pattern is fully confirmed when the price closes above the peak between the two lows. This is the real entry signal.

Regarding the target, measure the vertical distance between the two lows and the peak connecting them, then add this distance to the breakout line. This gives you the minimum upside target.

The Adam and Eve pattern has the advantage that you can anticipate it while the second low is forming, but the actual confirmation only comes after breaking the resistance line between the lows.

For stop-loss, place it below the sharp low (Adam), usually at known support and resistance levels.

In fact, the Adam and Eve pattern is one of the strongest reversal patterns if you study its conditions properly. The key is patience and waiting until the pattern is fully confirmed. Don’t rush into early entries.

Anyone following BTC, BNB, or the markets in general can see this pattern from time to time and benefit from it. The important thing is to learn how to read it correctly.