Buyers have made an unsuccessful attempt of Bitcoin price growth to the range $7550-7800.
Buyers need much larger volumes for growth than for price fall.
Globally, the price continues to be in consolidation between the two levels of Fibonacci $7060-7650.
On Thursday, the trading in Bitcoin market ended with a not quite successful attempt by buyers to organize a local growth trend. In general, the movement of Bitcoin price was about 4% yesterday. However, the closing price of the daily candle is only 0.3% higher than the opening price. It indicates that there are a large number of sellers on the market who will not give up without a fight.
The 4-hour timeframe shows how high volume buyers started their attack on the blue local range. During the next candle sellers easily returned the price back.
However, please note that sellers need less effort than buyers to stabilize the situation:
Pay attention that after sellers stabilized the situation and returned Bitcoin price below the blue range, buyers made another growth attempt. Although, this 4-hour candle looks much smaller than seller’s candle. Note that the volumes of these two candles are practically the same. It suggests that sellers will soon start a new wave of fall, completely exhausting buyers and again testing $7060 at least.
The daily timeframe shows a marked slowdown of Bitcoin price fall over the last 3 days. Yesterday, although it did not look completely in favor of buyers, but sellers failed to update the local low and were bound to defend themselves. If today’s candle closes above $7290, it means that yesterday’s 4% growth was the start of the price reversal and the test of $7800 will still be relevant.
With regard to the marginal positions of buyers, in recent days buyers have cooled concerning theeir increase:
However, the chart does not show much desire to reduce positions and buyers expect the growth continuation.
Sellers, on the contrary, increase their marginal positions within 4 days. However, they do it in uncertain means in relation to how positions were reduced in panic:
Globally, the situation in Bitcoin market in the wave analysis has not changed. Consolidation between the two important levels of Fibonacci continues:
Locally, yesterday’s growth corrected the last wave of the fall from 23 December by almost 61.8%. Let’s see if sellers can use their yesterday’s gains over the weekend and continue the fall to $7060 with the next target $6400.
Image Courtesy: TradingView