From Friday’s high at $215,328,000,000 the evaluation of the cryptocurrency market capitalization has been in a straight decline and has fallen by around $4.2B measured to the current levels.
- Market Cap: $211,916,573,967
- 24h Vol: $13,114,956,703
- BTC Dominance: 52.4%
As you can see from the global chart the evaluation of the cryptocurrency market capitalization has at first broken out from the symmetrical triangle dating from 4th of September. As the breakout happened from the upside we are yet to see if the evaluation pulled back as a correction after the breakout momentum to the upside continues or did the breakout momentum die due to the sell-off. As the evaluation is back on a similar level from where it started breaking out the lookout for support has started and the evaluation has started forming a plateau.
Bitcoin’s dominance evaluation has increased conversely by 0.4% due to the lack of confidence at the moment. Looking at the chart below you can see that the evaluation has found support on the corrective triangle’s support line, and we are yet to see if the correction gets prolonged by more bounces inside the triangle or are we going to see the evaluation breaks out from this symmetrical triangle on the upside.
Bitcoin Price BTC/USD
From Friday’s high at $6500 the price of Bitcoin has fallen by 1% as the cryptocurrency is traded at around $6440. If you can remember my November 6. analysis I have stated that after this move up that we have seen recently a downside is to be expected either as a correction before the uptrend continues or this move up was a recovery and more corrective waves should develop, but in both cases, more downside was expected which is what happened.
If you can remember these were my two projected scenarios from 6. of November:
Bearish projection
In this scenario, the move up was the second wave X from a WXYXZ correction and the move to the downside after it will result in a lower low
Bullish projection
In this projection, the correction ended on the Y wave, and we are now seeing an impulsive 12345 of a higher degree starting to play out as the breakout momentum
As you can see in both cases I have projected that the 5 wave would go to around $6600 level before it falls down again which is what happened. I have stated that depending on the expected correction retracement depth one scenario will be validated and another invalidated.
From the current price data, we still can’t draw such a conclusion, but by the current looks of it, the price wants to get a bit lower.
Looking at the hourly chart you can see that I have drawn the Fibonacci retracement tool adjusted at the current level around 0.5 Fibo level which would be the retracement target for the B or X waves from a corrective count, which is why I would expect the price to go to the $6336 where the 0 Fibo level is and you can see that the level position matches that of a prior horizontal resistance line.
The price could go up to the 0.618 Fibonacci level and still fall back down and below my projected levels as the correction in the opposite direction is currently developing. If the price goes below the mentioned level at around $6336 than the bearish scenario is in play, but if the price manages to stay on it or above it than the bullish scenario would be my primary.
Market sentiment
Bitcoin hourly chart technical indicators are bearish.
Pivot points
S3 5953.8
S2 6210.9
S1 6321.0
P 6468.0
R1 6578.1
R2 6725.1
R3 6982.2
Conclusion
As the pullback fully develops we are going to study its wave structure and the retracement depth from which the determination will be made as the price of Bitcoin and the market sentiment in general is bearish at the moment I believe that this sentiment will only grow in the upcoming period the market lost some confidence.
The post Crypto Market Update: Confidence Diminishes – Bitcoin BTC Price Analysis appeared first on Blockonomi.
November 12, 2018 at 07:40AM https://blockonomi.com from Blockonomi https://ift.tt/2FrGk5Y
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