This weekend’s upward trend may actually end up recoiling into a decline. There are certain key marks will be decisive in determining the further price development.
Bitcoin’s price has entered a recoil phase after stopping at the medium-term resistance of $406. Portions of traders close their positions at points like these and buyers try to make purchases at the lowest points, hoping for further growth.
However, further dynamics depend on the situation at the $416.7 mark. The traders’ behavior at that level will determine the fate of the downward trend.
If the buyers provoke the sellers into closing their positions, the trend will head upward.
An important resistance level for that scenario will be $416.7. If the market reaches that level, the sellers can become doubtful about the continuation of the downward trend and start giving up on their positions. The further development of the trend will depend on the exact nature of the dynamics. The minimal target medium-term-wise will be around $420-23.
A confident break through the level of $412 and fortification on it may lead to those in favor of an upward trend closing their deals.
In that case, the next target will be a minimum of $406: it is there, where the traders are most likely to start closing their positions.
Ultimately, the situation at levels of $412 or $416.7 will show if the market is recoiling towards the downward trend, or turning back to a growth wave.