Bitcoin Price Analysis (Week of April 10th)

Bitcoin’s price has not formed a medium-term trend. Such behavior only makes the environment more strained for the traders who are currently holding on their medium-term positions. All that can result in a strong movement.

Which direction will Bitcoin choose?

The rebounds which are currently happening near the key level of $428 indicate the lack of people who are willing to bet on further growth. The most likely explanation is that the traders are closing their positions whenever the price nears that resistance line. Doubts about the medium-term trend are prevailing over the traders who would otherwise want to bet on an upward movement.

All that can provoke a stronger fall right down to $398. However if the bulls manage to hold at the level of $424.2 and form a turn to growth, the bears will become those who are doubtful, which can lead to them impulsively closing their positions. In that case, the price is likely to skyrocket towards the long-term level of $445-50.

The longer the flat continues, the stronger will be the following trend. The large volumes which are right now forming the sideway movement, will later form a powerful impulse. The critical point where a pronounced trend is most likely to begin is at the $424.2 mark.