Buyers managed to keep the range $9200-9400.
Fixing above $9800 the following target is $10,500.
An alternative scenario is a local price reversal with a test of $9200-9400 and a probable continuation to $8860.
Yesterday’s trading on Bitcoin market ended in a failed attempt by sellers to take control of the range $9200-9400. Sellers are trying to break through this price zone for the second day. However, if on 15 May sellers’ actions looked serious both in terms of the daily candle and volumes, then yesterday sellers could only confirm their weakness in this Bitcoin price range.
Market sales were 7% higher than market purchases, while buyers were able to close the daily candle above the opening price. Therefore, today buyers are moving vigorously enough to the mark $9800 to check it for strength.
In previous analyzes, we wrote that keeping $9200-9400, buyers will be able to continue to grow quite aggressively with the target $10,500. As you can see today, the price in Bitcoin market has already risen by 3.5%. That’s why, fixing above $9800, buyers’ confidence will increase even more. Though, there is one fact which is a little confusing.
If you look at the 4-hour timeframe of trading volumes and match them with candles, it seems that sellers allow such a slight growth with a target of price reversal and re-test of $9200-9400:
Pay attention that trading volumes on 13-14 May were much higher than now, and the candles are the same size. Thus, the closing of today’s daily candle above Bitcoin price $9800 will give a good signal to continue the growth on Bitcoin market from next week. Otherwise, we will have consolidation, which is clearly visible in 3D and weekly timeframes, with a lower limit $8860.
BTC’s dominance in the crypto market continues to be above 67.51%:
As we can see, consolidation was formed at the daily timeframe, which is likely to shoot up, while the impact of Bitcoin will increase even more. In this case, the probability of the fall of other coins against the background of accelerated Bitcoin growth will significantly increase. The critical point on the dominance chart is the mark 71%.
According to the wave analysis in Bitcoin market, the situation remains unchanged:
Now the wave (c) is finishing its formation, which should complete the big phase of Bitcoin price correction from 13 March. Therefore, we continue to wait for the test of our main target $10,500. Tomorrow, we will analyze whether buyers have enough strength to fix above $9800.
Image Courtesy: TradingView