Let's conduct an ongoing analysis of the demand and supply on the BTCUSD market.
This market is developing in the framework of the uptrend marked with four blue lines ABCD. The current quote is at the heart of ABCD formation. This means that the number of supply and demand to a large extent compensate each other. In other words, the market is generally balanced.
Let us examine the key points.
Point 1. We have an extremely high volume of buying here. This is a very wide candle, in which price reached the level of 10,000 dollars per Bitcoin. However, the extremely high volume with anomalous values of shopping - this is an unhealthy situation, which usually means a hidden weakness. The big players use FOMO mood to take profits on long positions and to prepare for a subsequent pullback. The resistance from line B helped bears to set up the short-term down-trend, which was culminated near the line C.
Point 2. After the Selling Culmination around 9,000 for bitcoin, the market has entered short-term consolidation noted narrowing of the lines (triangle pattern). The efforts of the bulls were held on May 13 to the break of the triangle on rising volume. This is a positive sign.
However, bullish momentum has dried up when the price approached the resistance of line B (point 3). The second attempt to overcome the key psychological level of 10,000 dollars per Bitcoin was also unsuccessful.
After a brief consolidation in mid-May followed by a new (already the third attack of the buyers), with the breakout of the consolidation zone (it is indicated by figure 4). We see the efforts of the buyers, they are marked in figure 5 on the volume indicator. But for the next four candles have any progress and development of upward momentum.
Point 6 indicates the General decrease of volumes. It can be described as indecision of the market caused by the deficit of buyers (weak Demand). Fewer traders believe that the market is ready to overcome the level of $ 10,000. Therefore, we witnessed a shift in the Character of the market.
Figure 7 indicates a bearish candle with a widening of the spread. The volume is increased. As shown by figure 8, this is a Selling pressure, and we have a Wake-up call for the crypto-optimists.
Conclusion
Considering the overall picture, recent changes in the nature of the market is seeing a short-term phenomenon. We have clear signs of strength in the area of 9000 dollars per Bitcoin. Support is getting closer. Therefore, we can confidently say that just formed a bearish momentum will soon enter the power zone of buyers. It will be a good opportunity for the bulls to start the fourth attack at level 10,000. And its results will provide us with important information for analysis and prediction.
This market is developing in the framework of the uptrend marked with four blue lines ABCD. The current quote is at the heart of ABCD formation. This means that the number of supply and demand to a large extent compensate each other. In other words, the market is generally balanced.
Let us examine the key points.
Point 1. We have an extremely high volume of buying here. This is a very wide candle, in which price reached the level of 10,000 dollars per Bitcoin. However, the extremely high volume with anomalous values of shopping - this is an unhealthy situation, which usually means a hidden weakness. The big players use FOMO mood to take profits on long positions and to prepare for a subsequent pullback. The resistance from line B helped bears to set up the short-term down-trend, which was culminated near the line C.
Point 2. After the Selling Culmination around 9,000 for bitcoin, the market has entered short-term consolidation noted narrowing of the lines (triangle pattern). The efforts of the bulls were held on May 13 to the break of the triangle on rising volume. This is a positive sign.
However, bullish momentum has dried up when the price approached the resistance of line B (point 3). The second attempt to overcome the key psychological level of 10,000 dollars per Bitcoin was also unsuccessful.
After a brief consolidation in mid-May followed by a new (already the third attack of the buyers), with the breakout of the consolidation zone (it is indicated by figure 4). We see the efforts of the buyers, they are marked in figure 5 on the volume indicator. But for the next four candles have any progress and development of upward momentum.
Point 6 indicates the General decrease of volumes. It can be described as indecision of the market caused by the deficit of buyers (weak Demand). Fewer traders believe that the market is ready to overcome the level of $ 10,000. Therefore, we witnessed a shift in the Character of the market.
Figure 7 indicates a bearish candle with a widening of the spread. The volume is increased. As shown by figure 8, this is a Selling pressure, and we have a Wake-up call for the crypto-optimists.
Conclusion
Considering the overall picture, recent changes in the nature of the market is seeing a short-term phenomenon. We have clear signs of strength in the area of 9000 dollars per Bitcoin. Support is getting closer. Therefore, we can confidently say that just formed a bearish momentum will soon enter the power zone of buyers. It will be a good opportunity for the bulls to start the fourth attack at level 10,000. And its results will provide us with important information for analysis and prediction.