Bitcoin Price Alalysis: 4/06/2016

Bitcoin’s price is at the peak of a short-term rebound. At this level the trend is likely to change in favor of the bears. Will there be a rebound within an upward trend or a turn to decline?

Is there potential for continued growth?

The upward trend is not developing with certainty. Such vague movement can be caused by the medium-term bear positions, who are placing deals taking the current dynamics for a rebound towards the downward trend, which has started at $450.

BTC/USD price chart 1

But the closer the price gets to the medium-term level of $427, the higher the probability of a more powerful movement becomes.

In the medium-term scale, the price is situated at the peak of the correction, which is at $421.5. For the upward trend to end, the price will have to hold at that level and form a turn to decline. This will indicate the lack of demand from the bulls. In that case, a larger rebound may start.

BTC/USD price chart 2

When talking about a more certain signal of the continuation of the upward trend, the level of $424 is important. The buyers will have to fortify at that mark and form a turn to growth.

BTC/USD price chart 3

The critical point short-term trend-wise is $421.5. It’s at that point where the market will decide between an upward rebound or a fortification and turn to decline.