The first day off after a hot working week on the chart of Bitcoin price was not particularly marked. Yes, buyers managed to test the price mark USD 8330 that we wrote about in our previous analysis. They have made it, so far, without hinting at growth continuation. If you look at the 4-hour timeframe, you can see buyers support line which is still keeping a test trend. Thereby reducing the trading range between the price points USD 8100-8330:
As you can see in the chart, the price mark USD 8330 is just the beginning of buyers’ examination, which gradually moves into the blue price zone. In this price zone, for 2 days, market participants were fighting for the likely scenario of a continuation of the price movement. And it was this price zone which stopped the heavy train of sellers, which run like a rabbit on 24 September.
As the blue price zone is now under the control of sellers, we expect a new fall attempt with a final target of USD 7550. Looking at the history of how the price moved up to the high of USD 13,764, we can conclude that over a wide range of USD 7500-9000 the price stopped for a while:
Therefore, we think that as long as the price is in this 17% range, sharp price movements, as in the case of 24 September should not be possible.
The situation with marginal positions of Bitcoin buyers is not improving. Yesterday’s attempt to increase their positions was unsuccessful and today buyers decided to take a day off:
Sellers continue to move inside the blue growth channel on the chart of their margin positions. They are close to the bottom trend line test:
Having analyzed the structure of the waves in the falling blue channel, we have chosen the basic local scenario of price movement. It now forms the third correction wave (Y):
As we can see from the beginning of the fall, each wave, whether growing or falling, had a 3-wave structure. Either wave W or wave X. Therefore, we assume that wave Y will be similar in structure to them. And the first wave of fall is coming to an end. Therefore, we will expect price corrections to the price mark USD 9000. After that, Bitcoin sellers will show what they are made of. With regard to global analysis, we invite you to review the previous article and have benchmarks for Bitcoin’s critical points. Tomorrow we will meet for a detailed weekly price movement analysis! Have a good day!