Bitcoin price prediction: $8,400 could be tested before a rally to $10,000– Confluence Detector
|- Bitcoin’s potential for testing $8,400 remains high even as the price hovers above 9,000.
- The resistance range between $9,225 and $9,319 will be a key decision point in the weekend session.
Bitcoin is hovering above $9,100 on Friday in the course of the European session. Following the rejection at $9,500 earlier this week, Bitcoin has had an affinity for levels around $9,000. The consolidation in a tight range between $9,000 and $9,200 is likely to give way for declines under $8,000 where Bitcoin could test $8,400. However, let us look at the confluence levels first.
The confluence detector tool displays a relatively sad picture for the bulls. The upside is strongly barricaded by a series of resistance zones with the most prominent at $9,791. Marginally above the current price, an initial resistance is placed at $9,130. It hosts several indicators including the Simple Moving Average (SMA) ten 15-minutes, the previous high 15-mins, the Bollinger Band 15-mins middle and the SMA five one-hour.
The next key barrier is seen between $9,225 and $9,319. This is likely to be the decision point for Bitcoin in the coming session over the weekend. Price action above this zone could easily test $9,791 resistance and settle above $9,600. However, rejection at the same zone could ignite losses into the $8,000’s.
In regards to support areas, Bitcoin’s first key support is at $9,036. The three indicators converging here are the Bollinger Band four-hour lower, SMA 200 daily and Bollinger Band one-hour lower. A mild support exists at $8,847 but the major support is $8,469 as indicated by the confluence detector.
More confluence levels
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