The last two days of trading are not marked by special activity in Bitcoin market. After the breakdown of Bitcoin at the price zone $9,100-9,300 and failed attempt of buyers to return the situation, sellers are slowly trying to continue the fall. The trading day on 13 November passed on the small volumes and a special volatility was not noticeable either. All day Bitcoin price moved in the narrow range of less than 1%.
Pay attention to the 4-hour candle on 12 November, during which both sellers and buyers tried to impose their game. Then the continuation of consolidation after this event is natural:
The fact is that this candle has shown that the market is not ready to move in vector. Since there is enough liquidity in the given Bitcoin price zone to be traded. However, the advantage of sellers is also noticeable because this candle closed below the opening price.
Speaking of daily timeframe, it is visible that on 12 November, the daily candle had a pausing character. Nevertheless, buyers were not able to use this tool properly. As the following candle on 13 November showed the complete reluctance of buyers to continue any growth:
In the chart of buyers’ marginal positions for the last 6 days, the daily candle has closed in green, though in principle it is hardly noticeable:
By this candle it is too early to judge that the mood of buyers has improved. But, buyers stopped to decrease their positions confidently. Let’s see tomorrow how the daily candle will close according to the index of buyers’ marginal positions.
Sellers, on the contrary, began to close their marginal positions:
Something changes during simple consolidation, but the initiative continues to be on the seller side.
According to the wave analysis, if we analyze the wave (c), which began its formation on 5 November, we see that the first part of this wave ended its formation on 8 November. And the second part of the fall began on 11 November:
Sellers are now trying to fix below the level of Fibonacci 0.5. And breaking the level 0.618 at the mark $8,670, sellers will quickly test $8,500 with prospective to test $8,320. This attack can be frustrated if buyers manage to fix above $8,890, but we do not yet see the prerequisites.
Therefore, our main scenario remains unchanged and tomorrow we will see if there are reasons to think about correcting the forecast. Stay tuned and keep your hand on the pulse of Bitcoin market!
Image Courtesy: TradingView