The weekly candle closed above $7000.
There is a high probability of continuing growth to $7300-7400.
A daily candle closure below $7150 can signal about the start of a fall with the final target $5800.
The end of last trading week on Bitcoin market unfortunately did not bring any clarity about the future vector of the price movement. The weekly candle closed above $7000 and sellers failed to show their dominance on the big timeframe. However, the weekly candle closed at lower volumes than the previous one. And the trend on decreasing volumes works with each successive weekly candle. This fact is not for the benefit of buyers. Last week Bitcoin price range movement was $6700-7156. The intrigue has shifted to a new week and we think that this week the situation will drastically clear up.
If you look at two timeframes 12h and 3d at the same time, you can see that sellers did not realize their chance to start Bitcoin price growth correction from 13 March:
As we can see, at 12h with the help of 2 candles, sellers did not have the strength to break the local growth channel and fix below $7000. After a false breakdown, buyers will try to break the range $7300-7400. This attack should show how strong buyers are and whether they are able to continue their trend. On the 3d timeframe, we see a similar situation only with the more global target $7700.
Therefore, if today buyers are able to at least test and keep the price in Bitcoin market in the range $7300-7400, we will expect the growth continuation to $7700. If sellers close the daily candle below $7150, they will start tomorrow with an aggressive fall.
At the 4-hour timeframe, we see that the new wave of buyers’ growth looks rather weak and Bitcoin price can move down to $7000:
Nevertheless, it should not be forgotten that all these price movements occur at the lowest possible volumes and can be simply manipulative. In addition, the high density of Bitcoin limit orders has not disappeared anywhere and for active price fall a lot of volume is required. Therefore, locally, the probability of continued growth is higher, but globally we expect a growth correction to the level $5800.
According to the wave analysis on Bitcoin market, the situation has not changed and we expect the wave (Y) to be completed:
First local target is $7360. Fixing above, buyers will complete the formation of a sub-wave (c) at the mark $7700. Tomorrow we will mark the final point of Bitcoin price growth.
Image Courtesy: TradingView