• Buyers broke the price mark $8,200 and are preparing to test $9,080-9,350.
  • Sellers continue to take a passive position in the market and do not resist growth.
  • In case of unsuccessful price fixing above $9,200, sellers will check for strength the price zone $7,550-7,800.

Yesterday’s candle on Bitcoin market closed with a price growth by 5.5%. Buyers on increased volumes were able to move beyond the critical Bitcoin price zone $7,550-7,800 and tested the upper trend line of the local growth channel. We wrote about it in our previous analysis. Today’s trading is dedicated to buyers attempt to accelerate the growth and lay the foundation for the test of $9,080-9,350.

Bitcoin Price and Technical Market Analysis January 8th, 2020

Globally, Bitcoin price has continued to be in the black channel of fall since June. So, the final point of buyers’ growth is $9,080-9,350 in case of successful fixation above $8,200.

If we carefully analyze the 4-hour timeframe on Bitcoin chart, it can be noticed that trading volumes have increased drastically 2 times: with the storm of $7,550-7,800 and when buyers try to go beyond the local growth channel. In the second case, after Bitcoin price exit from the local channel, the next 4-hour candles closed at minimal volumes. The candles themselves, after breaking through the channel, symbolize the presence of aggressive sellers in the market:

Bitcoin Price and Technical Market Analysis January 8th, 2020

If sellers do not take the opportunity to counter-attack, which the buyers kindly voluntarily pass on to them, then after some consolidation in the narrow range, Bitcoin price growth will continue. Otherwise, sellers will check buyers for strength in the price zone $7,550-7,800. In any case, the local initiative continues to be in the hands of buyers.

Buyers’ margin positions are starting to decrease steadily and have reached a critical area. Buyers for a long have been unable to raise the index of marginal positions above it:

Bitcoin Price and Technical Market Analysis January 8th, 2020

Thus, it is seen that buyers are closing their margins during Bitcoin price growth, fixing profits.

Sellers continue to update historical lows daily, closing their marginal positions:

Bitcoin Price and Technical Market Analysis January 8th, 2020

Sellers do not believe in the fall continuation yet and the current price is not suitable for taking a short position with acceptable risks.

According to wave analysis, buyers continue to form wave (c), which at the price $8,200 = wave (a):

Bitcoin Price and Technical Market Analysis January 8th, 2020

If buyers are able to fix above this price mark, Bitcoin market expects to continue its growth to the next important level of Fibonacci $9,190.

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