From Friday when the evaluation of the cryptocurrency market cap was $122B, the evaluation has fallen to $116,9B at its lowest point yesterday. Since, the evaluation has started recovering with low volatility at first but has started increasing fast today and is currently above $122,6 billion dollars.
- Market Cap: $122,554,717,926
- 24h Vol: $17,367,043,574
- BTC Dominance: 52.6%
Consequently, the market is in green with a small average percentage of change in the last 24 hours. The biggest gainer is Tron with an increase of 11.46%.
Bitcoin’s market dominance has been decreasing and came down from 52.88% to 52.3 where it’s now sitting.
Bitcoin Price Analysis BTC/USD
On Friday the price of Bitcoin was $3717 at the open. From there the price fell at first to $3667 but only quickly as it came back in the same hour to around $3713. Eventually, the level was broken and the price continued its downtrend going to my projected target at $3583. Today the price of Bitcoin started off at $3590 from where it started increasing in a matter of hours and reached $3800 at the highest point which happened in the current hour.
Looking at the 4-hour chart you can see that the price fell exactly to my projected target from it started increasing again. This means that we have seen the end of this minor correction and that another impulsive move to the upside has started. As you can see the price entered a corrective stage after reaching $4374 from around $3230. As the price fell to below the 0.382 Fibonacci level which is around 70% retracement we now might see it is the second wave of a higher degree count.
I have labeled this correction as a WXY and as the Y wave looks it ended the current upside movement started pushing the price above the prior lower high level indicating the start of the uptrend. But as the price spiked to 0.5 Fibonacci level and quickly found resistance there we might be seeing the correctional second wave X as the correction gets prolonged by two more waves.
If the price manages to go above the 0.5 Fibo level and stays above it the first scenario would be my primary one, but until that happens my primary scenario would be the prolonged corrective one. Besides the fact that the price showed this kind of movement before and still ended sideways, I believe that we are most likely seeing more correctional waves due to the fact that the price hasn’t interacted with the 0.236 Fibonacci level which would be a stronger support area and the establishment of support is needed before the price could continue its upward trajectory past the prior high at $4374.
On the 4-hour chart above you can see my primary projection. It accounts that the current increase could go up to the next Fibonacci level at 0.618 before continuing down lower but I don’t believe that is likely if this scenario is in play. In theory that could happen but as I already stated if the price goes above the 0.5 Fibonacci level I would more likely going to view it as the confirmation of the second scenario which you can see on the chart below.
In the second bullish scenario, the price action is in a corrective uptrend recovery with the first impulsive move when the price of Bitcoin reached $4374 was the W wave and the correction that followed which I have labeled as the Minute WXY ended which was the X wave of a higher degree Minor count. If this is true, that what we are currently seeing is the start of another move to the upside which would be the third wave Y which is also known to be a five wave move.
Projecting on the W wave length from the potential ending point of the Minor X wave we come up with the target of around $4700.
In order to conclude which scenario would be validated we are going to see what happens at the 0.5 Fibonacci level and at 0.382 Fibo level. If the price continues down below the 0.382 Fibo level the first bearish scenario would be the primary, but if the price finds support there and goes above the 0.5 Fibo level then the second scenario would be the primary one.
Bitcoin’s hourly chart technical indicators are signaling a buy.