Sellers broke the trend line from 13 March and a local mark $6600.
The first target $6150 is reached and the next one is $5515.
The critical point of sellers is at the mark $6430.
Yesterday’s trading day on Bitcoin market was intrigued until the last hours of the daily candle closure. Sellers managed to break through the main trend line of buyers, lowering Bitcoin price by more than 5% in hour. The key local mark was overcome. As a result, sellers reached the first target we wrote about in previous analyzes the mark $6150. Lowering the price totally by 9% , sellers set a new local low $6068. The sharp fall began after finally identifying the weakness of buyers, who once again kept the mark $6600, but could not organize a new counterattack to $6830:
As you can see, each candle was closed with pins and the volume confirmed that the counterattack would not succeed. As a result, sellers were able to create a local panic. They forced all buyers who bought in Bitcoin market in consolidation from position, to exit.
At the moment, buyers are organizing a correction and if they do not manage to fix above $6430, we expect a continuation of the fall with a probable final target $5515.
On the daily timeframe, we see the closing of yesterday’s candle below the consolidation range. Though, so far there is no change in the local trend:
As we see from the history, buyers could not control Bitcoin price $6150 within 4 days. Let’s see if sellers have enough power to pass this level today.
Taking a brief look at marginal positions, buyers were forced to close positions during a fall, and sellers were confidently increasing them:
Sellers’ confidence increases the chances of the fall continuation.
According to the wave analysis on Bitcoin market, a new falling impulse has already started to form. It has already corrected the previous wave of growth by 61.8%:
Depending on how long buyers are able to develop a local fall wave correction, the next sellers’ target can be forecasted. So far, this is the mark $5665, which is the combined bottom limit of global consolidation $5665 -6868 $. If buyers do not go above $6430, then the probability of breaking through $5665 and testing the key price range $5300-5500 will significantly increase. Let’s see how sellers close the day of trading today and whether they can lower Bitcoin price below $6150.
Image Courtesy: TradingView