The second day of the new week was not marked by activity or aggressive behavior of one or the other side of the market. After a sharp price growth by almost 45%, buyers and sellers lock horns in battle within the new local triangle, which is clearly visible on the 4-hour timeframe. As we can see, the situation is in favor of Bitcoin buyers now. This is because they manage to keep the price above the price zone $9,100-9,300, which we mentioned in the previous analysis.
This zone is now an important barrier from which Bitcoin buyers can try to continue their growth and break the trend of sellers.
However, looking at the chart, we see that there is enough space between the local black trend line and the global blue line for consolidation by the end of October. So, there is high probability that we will have a surprise at the beginning of the new month.
On a daily timeframe, we see that sellers do not let buyers above without a significant increase in volumes. And as a result, the pins are created upwards:
Yesterday’s candle closed in favor of Bitcoin sellers, but today they refused to continue their attack. Because they could not fix themselves below the price range of $9,100-9,300.
Buyers marginal positions again reached an important purple zone, but immediately after its test began to decrease:
Sellers, on the contrary, suspended the increase of their positions and kept everyone intrigued today:
According to the wave analysis after sellers correction of local growth by 50%, the price is now struggling with the new Fibonacci level 61.8%. So far, Bitcoin buyers manage to keep the price higher:
Globally, the fall continuation to the price mark at $8,500 is still more likely for us than breaking the global trend line of the falling channel. Although, the price is now above the critical point of $9,100-93,00. The fact is that buyers are still unable to go above and any attack ends with a test of $9,100-9,300.
Nevertheless, the alternative scenario of the growth continuation is also worth to keep in mind. Because, miracles often happen in such triangles. Therefore, we look forward to the continuation of price trading in consolidation and exit at the end of the week!
Image Courtesy: TradingView