Bitcoin price range narrowed to 1.5%.
Fixing above $9800 buyers will continue active growth to $10,500.
To change the local trend, it is enough for sellers to fix below $9600.
The fourth day of trading in Bitcoin market is consolidation and daily candles are closing in the range $9660-9770. Bitcoin price was moving in the range 1.5% and all price exits from this range are aggressively returning to consolidation. Trading volumes remain average.
Yesterday, market sales were almost equal to market purchases. If we analyze market purchases and sales starting from 17 May, then every next day sellers begin to feel more confident in the market. If on 17 May during a sharp price growth market purchases were 53%, on 18 May – 51.3% and yesterday market purchases were 50.3%. This fact indicates a change in Bitcoin market. If buyers do not increase the pressure and volumes of trades, then a local reversal of Bitcoin price and the test of $9200, we will be able to see at the end of the week.
The main signal for this scenario will be fixing below the local trend line, which is clearly visible at the 4-hour timeframe:
Having fixed below $9600, sellers will finally confirm the change of forces in Bitcoin market and start their attack. Meanwhile, despite the indicators of active purchases and sales, buyers have the initiative and repel all attacks of sellers.
Today, buyers are trying to break out of consolidation and continue their growth trend. But in the 15-minute timeframe we see that sellers have sharply stopped such an attempt:
As we can see, sellers are entering into an aggressive fight above the mark $9800. It is not the first time such a fight has taken place. Buyers do not currently allow sellers to fix even below $9700 and continue their slow but steady attack. In our opinion, buyers are buying up all sellers in the current range for a comfortable and sharp continuation of growth without much resistance. Therefore, the main scenario of Bitcoin price growth continuation to $10,500 remains valid.
The dominance of BTC in the crypto market remains at the level and continues to balance in the range 67.55% -68%:
Fixing above 68%, indicator of dominance will give a strong signal for buyers to buy. Thus, the trend line from 6 September, 2019 will be broken up and Bitcoin will begin to form a new growth trend. So, tomorrow we will analyze whether the balance of power in Bitcoin market has changed.
Image Courtesy: TradingView