Bitcoin Price Analysis (Week of May 22th)

Bitcoin is moving toward the target of the long-term correction within the upward trend. The ending of that rebound could provoke a continuation of the long-term trend and a turn to decline.
Bitcoin is moving toward the target of the long-term correction within the upward trend. The ending of that rebound could provoke a continuation of the long-term trend and a turn to decline.

Bitcoin is moving toward the target of the long-term correction within the upward trend. The ending of that rebound could provoke a continuation of the long-term trend and a turn to decline.

When will the current rebound end?

Bitcoin’s price is fulfilling its minimal correction targets at around $440. As there was no turn to decline on a long-term scope, the downward movement is limited. One confirmation of that is the stop around $440.

BTC/USD price chart 1

A change of cycles usually happens at points like that. Now the market has to decide whether to continue its long-term trend or form a turn to decline. The $442.2 resistance we discovered earlier, at which several key instruments intersected, will be the mark where an upward scenario could play out. For that, the price has to fortify at the level of $442 and form a turn to growth. If that is the case, Bitcoin’s price will at least return to its long-term flat. The minimal upper target, where the price may stop, is the diagonal channel and the accumulated volume at $455. The $455 resistance could become the peak of a new wave of a flat, as the majority of traders are likely to open their deals there. In case of a downward scenario, Bitcoin’s price will yet again have to rebound from the $442 resistance. That will be the first signal of the formation of a deeper correction. After that, there will be a need for a confirmation of the bears holding advantage in the form of the price fortifying below $435. In that case, the odds will be on the side of a downward trend.

BTC/USD price chart 2

The fate of the long-term trend will be decided at the level of $442.