Monday witnessed a further downfall of BTC by 1% just when Bitcoin was expected to rise. It was just after a firm close to the week on Sunday as the price gradually moved from $7875 TO $8300. BTC is struggling to rise above the 20 weeks moving average, with its fluctuating trend, a slight movement upwards proves to be futile to pull it above the average level. For now, it was being supported by a 100-week moving average but it is expected to show a freefall in the days to come.
The Relative Strength Index and the Moving Average Confluence Divergence is moving down with a freefall on a weekly basis. If we take a glance at the daily bitcoin price chart, it suggests that bitcoin is likely to move down strikingly.
According to the order book released by data.bitcointy.org, the Buying interest are much more than the selling interest with a gap of about 10% in the price range. As much as 25% of shrinking is witnessed by the traders of the book on the sell-side. It does not cover the scenario from all perspectives but it at least tells that the market may again be occupied by the bulls. For the bears to take hold of the market, the next region of buying interest is expected to be at about $6,000s.
The four-hour chart also depicts the magnitude of the fluctuations on Sunday which clearly illustrates that the bitcoin has put in a second higher low following a second higher high. Buying pressure acts as a support as marked by the On balance Volume Indicator. OBV basically adds or subtracts the present volume to the volume marked previously, in accordance with the rising or lowering down of the prices. For now, the very indicator shows some optimistic signs according to which the downbend of the graph has become somewhat less in magnitude.
Sunday also saw CME opening with a gap to the upside. If we compare it with the past, the gaps took less time to fill than it is likely to take now. Presently bitcoin price is marked with a retracement and the prices are likely to be pushed down to $8000 low by the traders and without a doubt, this is likely to turn into an opportunity for buying.