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Sellers were unable to fix below the local mark $6285.
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Sellers should not allow the price to rise above $6830-6915 in order scenario of the fall to $5500 works out.
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An alternative scenario of the growth continuation to $7700.
Yesterday on Bitcoin market was a sharp change of price movement towards the end of the day. Throughout the day, sellers kept Bitcoin price under control and gradually lowered its index, even breaking the mark $6285. However, in yesterday’s analysis, we wrote that we do not see any potential for the fall continuation. Since the volumes of the fall significantly lower then during the previous local growth impulse. The 4-hour timeframe shows that the price exit from $6400-6540 was without much activity and volume, which is not inherent for beginning of a new local trend.
Also, pay attention how every 4-hour candle was closed with a pin down, indicating that buyers control the fall. If we look at the situation on the hourly timeframe, we can see how the price range in Bitcoin market narrowed in wedge and each following local low was more sluggish:
Also pay attention on which volumes sellers have tried to exit from the local purple price range and update the local low. Due to the excessive weakness of sellers in this price range, the unsuccessful attempt to fix below the level $6285, buyers quite aggressively intercept the initiative, continue their trend Bitcoin price movement.
After a rather aggressive invasion on the critical range $6600-6830, we think that consolidation will be in the market. Currently, sellers do not show any aggression and allow buyers to continue growth. However, our main scenario is still valid. And we expect Bitcoin price reversal with the first serious target $5500.
On the daily timeframe, we can see that daily candle confidently has closed at $6726:
Despite the successes of buyers and their apparent aggressiveness, the current attempt to break through $6600-6830 still looks weaker than the previous two. Although, if in the next two days we do not see aggressive sales on increased volumes – buyers will be able to push the upper limit of the formed consolidation and continue growth to $7700. But it is an alternative scenario.
According to wave analysis on Bitcoin market, the wave (X) is still forming:
Sellers managed to correct the wave (a) almost by 61.8%. Given the rather aggressive start of the wave (c) the maximum possible price growth for our scenario may be in Bitcoin price range $6830-6915 as a false breakdown.
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