Sellers were able to update the local low again, testing the mark $8445.
Buyers for the 4th day can not find the bottom to organize the correction to $9050-9350.
Continuation of the fall without corrections is possible to the level $8120.
Yesterday’s trading day on Bitcoin market ended with a new attempt of the price fall and updating of the local low. Buyers lowered Bitcoin price by 4% yesterday, testing the price mark $8445. On the third day, sellers are trying to continue price fall without correction. But we do see a clear slowdown of the fall by buyers. Each daily candle, which is closed on increased volumes with a large pin down, increases the chances of buyers to arrange correction and test price range $9050-9350. So far, it remains our main local scenario.
If we analyze the situation on Bitcoin market more locally, it is noticeable at the 4-hour timeframe that sellers can try another attack today with a local low update:
Pay attention to how lazy and with low volumes buyers are trying to change the situation now. The last 3 candles are moving without volumes. So, a continuation of the local consolidation in the range of $8570-8770 over the weekend is likely.
Today is the last day of February. Analyzing the monthly candle, we see that buyers’ attempt to fix above $9050-9350 was unsuccessful:
Buyers margins continue to decline steadily and the chart is reminiscent of a roller coaster:
Sellers also do not try to increase their marginal positions either during the active fall phase or during correctional growth:
According to the wave analysis in Bitcoin market, the global scenario is still valid:
We consider Bitcoin price growth since December 2019 as a correction of the previous fall wave. And now the last correctional fall wave (Y) is forming, which at the mark $7350 will meet its first critical point.
If we look at the picture locally, wave (c) is continuing to form now, which at $8850 was equal to wave (a). The prospect of continuation of the wave(c) formation without correction ends at $8120. It will be the case if sellers fail to allow buyers to test $9050-9350 and confidently fix below $8700.
Let’s see how the week ends and whether buyers can still arrange a correction and check sellers for strength in the range $9050-9350.
Image Courtesy: TradingView