Has the situation in the market changed after our previous bitcoin analysis? Let’s puzzle it out!
Buyers and sellers continue to trade in a narrow range of $7,750-8,000. On a daily timeframe, we see a continuation of a weak fall in prices after a sharp increase on 19 May. The volumes of trades continue to be small, indicating a lack of readiness for the vector movement of prices and the continuation of consolidation.
Sellers are trying to start their game and take the initiative, and the first local test for them will be the price $7,240. At this price was a slight accumulation of volume before the price growth by 13% on 19 May. However, buyers had problems with this price and on 12 and 13 May, a good volume is needed to pass this price:
If sellers have enough power to break through $7,240, then the next stop is $6,300-6,600.
Buyers continue to close marginal positions:
Sellers do not consider the current situation as a chance to start a counterattack. At the very least, it is not seen in the chart of their marginal positions, which are increasing very passively:
The current main local scenario for us is the continuation of consolidation in a triangle, so now a wave (c) is formed, which should consist of 3 smaller waves:
If the wave (c) does not much differ from the previous waves either by volume or structure, then we again expect a test of $8,200.
We understand that examination of a weekly candle is too early, but if you compare the volume in half a week with the previous weekly volume, we see that this week will either be rather passive or a rock-and-roll session will be waiting for us on the weekend.
Despite the small volume, the current weekly candle halted the growth of buyers last week. On that basis, we conclude that buyers are not ready to globally keep the price in this range and fix profits and are waiting for a new opportunity to buy cheaper.
However, about the weekly detailed analysis and forecast for the next week, we will talk on the weekend. Keep your deposits and keep your mind cool!
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Want to advertise or get published on BitcoinNews.com? – View our Media Kit PDF here.
About the Author: Peter Oleshchuk is a trader and technical analyst. He has spent two years studying and analyzing the crypto market. Image Courtesy: Bitcoin News