Well, the working week is over and it’s time to analyze what Bitcoin sellers have achieved on 4 October. We also will analyze our perspectives for the weekend.
As we can see, followed by the 3 October’s unsuccessful attempt by the buyers to select the price range of USD 8300-8500, they failed to muster enough forces on 4 October to touch this range. Thus, it seems that buyers have given up and sellers effortlessly push the price down. Now, the price fall has slowed down because of the local price range of USD 8000-8100, where volumes for a new growth attempt have been accumulated on 26-30 September. In fact, now the price has stopped at the price mark, after which Bitcoin buyers immediately start counter-attacking to USD 8500:
Therefore, if today and tomorrow we see a pin on our daily timeframe, like day candles in the period from 26 to 30 September, then the chance to continue consolidation for buyers will be quite high.
Also, if you pay attention to the volumes, they inspire the idea that next week we can safely expect the same melancholy lazy movement of Bitcoin price.
On the weekly timeframe, we see the candle, which has not yet completed its formation, but looks like a temporary stop:
The best option for buyers is the test of the price range of USD 9100-9200 within a few weeks. However, after that the fall will continue. But so far, this positive can only be backed up by dreams. Therefore, the optimal scenario for us is at least an attempt to break the previous low. Also, we should analyze forces of market participants during this breakdown.
Marginal positions of buyers are in the wild intrigue:
The fact is that, if buyers continue to close their positions, they will break the trend line, after which panic and a sharp price fall will begin.
Sellers will try to keep up with their trend channel by testing the lower trend line:
According to the wave analysis, the wave (Y) at the price of USD 7600 will be equal to the wave (W). But having broken this level of Fibonacci the next real price stop is possible at the mark of USD 6300:
That’s why this price mark is a very important critical point for Bitcoin buyers. Let’s see if buyers can keep it next week and organize a counterattack up to USD 9100-9200.
Charts Courtesy: TradingView