Buyers reached our final target $7680.
The nature of the daily candle closure gives buyers a chance to make a correction with the target $8260.
The maximumal correction for buyers is at $8750.
Yesterday’s trading day on Bitcoin market ended with the closing of the candle at $7967. Sellers managed to get in the red range $7500-7800 and get closer to our target $7680. The test was on high volumes and buyers managed to stop Bitcoin price fall by closing the daily candle with a pin. Thus, buyers have provided themselves with the foundation to organize the correction of the wave of fall on 7 March. The most positive scenario for sellers at the moment is a repeated test of the range $7500-7800. However, we doubt that it will be on high volumes, as we see how much liquidity has gone in the last two days.
The first target of buyers is at $8260. In addition that this is a local level which works out on history, close to this mark passes the upper trend line of the falling channel where Bitcoin price has turned. In a very successful scenario, the maximum growth target is $8750. But let’s look at the nature of growth if there is any prospect of such movement. At the moment, buyers behave quite passively.
As we see on the 4-hour timeframe, the buying volumes are radically different from the previous selling volumes:
Buyers managed to stop the fall in Bitcoin market, but we do not see any activity for correction. With this in mind, the probability of repeated test of $7500-7800 is quite high. So for now, we are not relying on a quick Bitcoin price correction and are preparing for boring consolidation and gaining positions. As long as buyers do not exhaust the remain aggressive sellers, every attempt of growth will be unsuccessful. In addition, the fear to buy a tool after such a fall is also present. Therefore, we believe that Bitcoin market needs some time to recover from the falling impulse.
Buyers managed to increase their marginal positions yesterday, but their confidence ended there:
Sellers are beginning to close their marginals, which they increased in emotion by market orders as the price falls:
According to the wave analysis in Bitcoin market, sellers practically tested the target, which was in the level of Fibonacci 0.382:
At this level, the wave (Y) = 0.382 * (W). It is the first serious stop of Bitcoin price on the way to the target $5500-5900. Let’s see if buyers can keep their chance of correction and whether there will be a retest of $7500-7800.
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