Bitcoin Price and Technical Market Analysis January 1st, 2020

• The new 2020 year began with no surprises in Bitcoin market.

• December 2019 closed without much enthusiasm for the fall continuation.

• January is a chance for buyers to test and fix higher $7,920.

Here comes the new 2020, which for many is a symbol of hope for new financial achievements and achievements in Bitcoin market. The year 2019 is schematically divided into two equal parts. For the first half of the year, Bitcoin market has grown steadily and buyers have managed to test the closing price of month candle of December 2017. The next half year we saw a prolonged and tedious correction, during which the movement and volumes were less aggressive than during Bitcoin price growth. On the eve of the new year, Bitcoin market has not prepared any surprises.

The month candle closed below the critical price zone $7,550-7,800.

However, sellers don’t feel inspired by this candle at all. Pay attention that with identical trading volumes for the month, candles look completely different. The impression is that the continuation of the fall is not possible without a quality test of the price zone $7,550-7,800 on the monthly timeframe.

The barely noticeable local low update is another fact that large volumes are needed to continue falling. In order to accelerate the fall and exit from the black channel of price movement.

If we analyze buyers’ marginal positions during the year, we see that buyers started to increase their margins 2 months before the growth of Bitcoin price:

From February to April, buyers began to record profits, closing their margins. Beginning from May 2019, on the chart of buyers’ marginal positions was formed consolidation. It ended with breakthrough up in November. It seems that buyers are preparing for a new wave of growth, during which they will again close their margins. Also worth noting is the fact that during the uncertain movement of Bitcoin price, buyers have so confidently increased their margins that they updated the historical high.

As for sellers, the situation with their marginal positions is the opposite:

Throughout the year, sellers have closed their marginal positions, updating the historical low. The bulk of the marginal positions was closed during the reversal and the first wave of the fall, starting from June 2019. Thus, with each local low update, sellers only reduce their positions. Thereby, they indicate the likely end of the fall in Bitcoin market.

According to the wave analysis, sellers cannot fix below the Fibonacci level 50% for the second time:

In the coming month, buyers will try to test and fix above the level of Fibonacci 0.382, which passes at the price mark $7,920. If buyers fix above this mark, they will have great prospects for continued growth. We will discuss it in the following analyzes. We wish you the new year 2020 be more productive and energetic. Meet you tomorrow on a daily analysis of Bitcoin market!

BitcoinNews.com is committed to unbiased news and upholding journalistic codes of ethics. For more information please read our Editorial Policy here.

Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews

Image Courtesy: TradingView

The post Bitcoin Price and Technical Market Analysis January 1st, 2020 appeared first on BitcoinNews.com.

from BitcoinNews.com RSS Feed
via TOday BItcoin New