The increase in volatility and the sharp fall impulse in the Bitcoin market forced us to make an unscheduled technical analysis of the main cryptocurrency. Despite the steady decline in the Bitcoin dominance in the cryptocurrency market, the price fall on 7 September happened with all altcoins as well. Another issue is that some of them, after a joint fall wave, returned the price to the previous level or even updated the highs. However, the fact that even with the low BTC impact on the cryptocurrency market to talk about the full independence of altcoins is impossible.
Buyers failed to meet the basic condition for continued price growth to $60,000. The range of $48,000-$50,000 came under the control of sellers. During the day (more precisely for an hour) the BTC price fell by 20%, stopping in the liquidity zone of $43,000-$44,000. We wrote about this range in the previous analysis as the first target of the alternative scenario.
Buyers did not allow to close the daily candle without a pin, showing a desire to fight for control of the market. Though, it is incorrect to take into account the mood of market participants on the day of fall, because emotions reigned at that time.
Two trading days after the BTC price fall passed in a calm direction of consolidation. Sellers are gradually trying to push the price away from the $46,000 mark and prevent buyers from fixing above. To change the mood in the market, buyers should regain control of the range of $48,000-$50,000 until the initiative is on the side of sellers.
Before you actively buy Bitcoin at current prices, you should look at the 4-hour timeframe:
After a strong growth wave, buyers could not start an active rebound. After a false break of the range of $44,000-$43,000, the price stopped. And then sellers with limit orders try to put pressure on the price. Active action by sellers is still unnoticed. Sellers have drawn a local limit of $46,600 and while the price is below it, they are not even trying to use their forces.
Therefore, a local repeated test in the range of $43,000-$44,000 is very likely. If it happens without increased volumes - it will indicate depletion of sellers and a high probability of a price rebound to $48,000-$50,000. The movement of the BTC price by the end of the year will depend on how buyers will behave in this range. An unsuccessful attempt to fix above the range of $48,000-$50,000 will continue the correction with the first target of $35,000.