Bitcoin price made a corrective high at $705 (Bitstamp) and was then sold off to $650 for the duration of the day. What the market does next will determine trend for the next week.
Time of analysis: 15h00 UTC
From the analysis pages of xbt.social, earlier today:
The deep retracement that was anticipated in analysis, last week, has set in and we see the charts currently holding support at $650 (popular USD exchanges) and 4350 CNY. The level also corresponds to a trendline (magenta) drawn from the level from which the corrective advance started.
There is no telling what the market will do next. One scenario is that price consolidates into the next wave of advance – and gives us the expected buy signal in the coming days. Another scenario is that decline continues. In case of the latter we’d expect to see price revisit the previous low near $560 (Bitstamp).
Three successive 5-wave structures had made the advance, and we have to wonder if the most recent high was a corrective high. Best to wait and remain out of the market until the chart gives a clear signal in either direction.
Bitcoin price has sold off below $680 resistance and is back near the level of the start of the most recent corrective advance at $650. If there is additional upside, the market should find support at $650 and begin advance toward $755. If $650 breaks then $560 could be the target.
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Bitcoin price charts from TradingView.
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