The price of Bitcoin has continued increasing from Monday but still hasn’t interacted with the projected level which is why further upside would be expected from here.
- The price is set to reach $9400 before the completion of the bullish move.
- After an interaction with the $9400 level, a downturn would be expected.
- As the downturn would be a higher degree move it could bring the price of Bitcoin significantly lower from the current levels, potentially back below $6000.
Bitcoin Analysis BTC/USD
From Monday, the price of Bitcoin continued increasing and has come up to $8949.8 at its highest point on Tuesday after which a minor retracement occurred to $8506 horizontal level which serves as support.
The price has found support there and started moving to the upside again but still hasn’t exceeded the previous high as it’s currently being traded at $8765.7.
On the hourly chart, you can see that the price of Bitcoin is set to reach 0.382 Fibonacci level which is the next significant resitance point on the way up. This minor increase expectation is also validated by the wave count as it also implies that the final 5th wave from the currently seen increase should develop fully.
This 5th wave is a sub-wave of the five-wave impulse of the Minute count which is the ending sub-wave of the higher degree Minor count.
This is why after the completion of the currently seen upside move from 23th of May I would be expecting the start of the higher degree downside move.
This downside move could be the start of the downtrend as the increase seen from 15th of December could still be correctional, or it could be the 4th wave retracement if the bull market started and we are seeing the development of the first five-wave impulse.
As I would be expecting a move to the downside very soon these possibilities would be evaluated from the depth and momentum of the retracement. In either way, I would be expecting the price to go below the 0.236 Fibonacci level where it would likely find support at first but would continue moving back below it to some of the significant resistance levels which were broken on the way up, for a retest of support.