This time we start the analysis more prosaic. The weekends with the worst picture for Bitcoin buyers. At the beginning of the week, buyers were celebrating and trying to break through USD 13100. But closer to the end of the week, we see that after a sharp fall, buyers can not take the situation into their own hands. At 4-hour timeframe, it is especially evident how buyers do not even try to change the situation after a sharp price decrease to the lower limit of the yellow price zone:
Neither candles nor volumes show the ambitions of buyers. After a failed attempt of buyers to keep Bitcoin in the yellow price zone, the price still went beyond its limit. To begin with, the price aims at a mark of USD 10400, which passes a critical point. Breaking this critical point, the sellers will likely be able to test the range of USD 9000-9200, as we mentioned in the previous analysis.
The mood of buyers changes remarkably. If we analyze the marginal positions of buyers, then it can be noted that at the beginning of Bitcoin fall, buyers increased their marginal positions, believing in growth continuation. At the moment, we see consolidation, which means a significant decrease in buyers’ confidence:
Fear and greed index
These words also confirm the index of fear and greed. Yesterday, the index showed the mark 33, which means that buyers are beginning to fear.
However, today this feeling has passed, since today’s result has stopped at 65. Such instability in the mood of buyers makes it easier to rock the boat and manipulate the market.
Marginal positions of sellers over the past two days are trying to increase, but what happened on 11 July does not leave us alone:
In the wave analysis, we see the continuation of the correction and formation of the wave (C), which in the price of USD 9200 equals wave (A):
Another fact is that it is much more difficult for buyers in this situation to continue to grow than for sellers to fall. This is the situation on a weekly timeframe:
For the third week, sellers easily reflect buyers’ attacks without allowing them to stay in the yellow price zone. Super long pins of 16-20% of length tell us that correction is necessary. And the main question which appears now, is to what price? To begin with, we will follow USD 10400 and USD 9200. The final target depends on many factors and we will try to analyze them over the next week. How the weekly candle will close and which local perspectives await us next week, read on Tuesday’s Bitcoin market analysis. See you!
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
Charts Courtesy:TradingView
