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Crypto Market Update: One More Low Before the Reversal (Bitcoin Price Analysis)

bitcoin social trading

From yesterday’s open at $112,357,863,273 the evaluation of the cryptocurrency market cap has increased at first and came up to $116,5B at its highest point today, but since the evaluation reached those levels it started a minor retracement and is currently at around $113,6 billion which is a higher low than yesterday.

  • Market Cap: $113,616,363,872
  • 24h Vol: $18,690,557,645
  • BTC Dominance: 53.3%

Bitcoin BTC Price

Looking at the global chart we can see that the evaluation has started a minor uptrend since it came down on Tuesday but as it reached its first resistance it fell down to the uptrends support line again today in a search for support. The support level is the prior range resistance so if it does hold another increase to the upside would be expected, but if not further downfall is more likely below the prior range support at $111B mark.

Bitcoin’s market dominance has been increasing today as it came up from 52.62% at its lowest point today to 53.35% at its highest.

 

Consequently, the market is in red with an average percentage of change among top 100 coins ranging from 1.8-4.3%. The biggest losers are in double digits like MobileGo with a decrease of 18% and Pundi X with a decrease of 16%.

Bitcoin Price Analysis BTC/USD

From yesterday’s low at $3464 which was near the open, the price of Bitcoin has by 1.1% as its currently being traded at $3494. The price did go further up as it came to $3561 which was on today’s open but since the level was reached another minor downtrend has started.

On the hourly chart, you can see that the price action has created an ascending wedge since the previous 5 wave impulse has ended which is why I believe that this is the prolongation of the Minor Z wave which still hasn’t ended and will end as a five wave move and not the three wave that I was previously expecting. Currently, the price is interacting with the intersection of the 0.236 Fibonacci level and the wedge support line so I think that the support will be there for now.

The price could continue its upward trajectory for another interaction with the descending wedge resistance (upper interrupted purple line) before continuing for another lower low which would be the end of the Minor wave Z and the Intermediate wave X. The price target for the Z wave would be on the $3367 horizontal level or on the lower level from that support range. Optimally the price would at first increase to the descending wedge resistance before going down again which would be enough for the price to come down where the intersection of the descending wedge support line is and the horizontal support.

As Y wave is expected to the upside from here which would be an impulsive recovery move firm support is to be established and the mentioned area would be the perfect fit which is why I believe that this would be very likely. In the upcoming period, I would be expecting to see more sideways movement before another low which would be the end of the Minor correction and the start of a large move to the upside.

Market sentiment

Bitcoin is in the sell zone as indicated by the hourly chart technical indicators.

Pivot points

S3 2960.2
S2 3295.1
S1 3463.2
P 3630.0
R1 3798.1
R2 3964.9
R3 4299.8

The post Crypto Market Update: One More Low Before the Reversal (Bitcoin Price Analysis) appeared first on Blockonomi.