Yesterday’s excitement of Bitcoin buyers stopped in the same place where it began. A sharp price shot to the price range of $9,600-9,670 with the intention of breaking through and fixing, ended in a consolidation. This is where sellers begin to change the balance of power. After the first test of the $9,600-9,670 price range, the candles of buyers were aggressive, with large bodies and prospects for the continuation of growth to $10,200. However, after the first failure, the next attempt by buyers was no longer so aggressive:
The second attempt shows that the balance of power is now not as straightforward as with a candle, which tested the price mark of $9,738. In terms of volumes, after a sharp test of $9,100, there was no longer an increase in volumes. A local burst of volume after which buyers could not continue their growth can be interpreted as a check on strength for buyers.
Analyzing the current situation, where the price is moving within the blue trend line and the $9,400 price mark, sellers are increasing the likelihood of another test attempt of $9,100.
The 4-hour timeframe makes it clearer that the $9,600-9,670 price zone for buyer attack was quite symbolic. As there were no increased volumes:
After a double price zone test, sellers no longer allowed buyers to retry and keep the upper limit of consolidation at $9,530.
Buyer mood has not changed significantly. Buyers increase their marginal positions. However, on the daily timeframe, we see a rather sluggish attempt to increase the position relative to the previous two:
Seller marginal positions continue to move in consolidation. Now, during Bitcoin price growth, sellers close their positions to the level on 27 July:
The wave analysis shows that after sellers attempted to break through the level of Fibonacci 50%, buyers have a problem with another level: 38.2%. Despite yesterday’s aggression of buyers, the advantage is on the side of sellers.
Therefore, yesterday’s forecast remains valid with a remark of likely fall and $9,100 test. Have a nice day and see you tomorrow!
BitcoinNews.com is committed to unbiased news and upholding journalistic codes of ethics. For more information please read our Editorial Policy here.
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Image Courtesy: Bitcoin News