Bitcoin’s price is approaching a critical line, where the following direction of the trend is likely to be decided.
Is it a rebound or a turn?
Bitcoin’s price is in a rebound toward the downward trend. The fact that Bitcoin’s price didn’t fall lower and faster indicates that the bulls are holding it at the current level.
There is always a chance for a turn. But for a more certain signal, this downward movement has to become a rebound, instead of the first downward wave. In that case, the bulls will win the advantage. The buyers will then have to fortify at the level of $418-19, thus eliminating the possibility of the formation of the third downward wave. During the formation of a turn, the next target will be $428, which is the level where some of the large positions of bears are cut off.
The continuation of the downward trend depends on how will Bitcoin’s price behave at the level of $409. If the bulls finally hand the advantage over to bears, the price is likely to plateau for a while and then continue its downward movement right up to $390.
Until the mid-day price of Bitcoin fortifies at either of the key levels of $418-19 or $409, the market will continue moving sideway.