Bitcoin Price Prediction: BTC/USD banks on $9,700 support for reversal – Confluence Detector
|- Bitcoin holds above the support at $9,700 ahead of another breakout targeting $10,500.
- Sideways action is anticipated between $9,700 and $9,900 in the near term.
Bitcoin continues to face increased selling activity on the first day of the trading this week. The drab action is a continuation of the weekend losses that jeopardized support levels at $10,200 and $10,000. There was a struggle to keep the price above $9,800 during the Asian house, however, the downward force saw the bulls scatter leaving a gap for another drop towards $9,700.
Meanwhile, Bitcoin is trading $9,788 after shedding off 1.32% of its value on the day. The buyers are working hard to sustain a weakly forming uptrend. However, with short term volatility on the low, upward action might not be forthcoming in the current session.
Bitcoin confluence levels
According to the confluence detector, BTC/USD is trading between stacks of support and resistance. The first hurdle is seen at $9,954; the region where the Bollinger Band 15-minutes upper, the 100 SMA 15-mins, the 38.2% Fibo one-day and the pivot point one week support one converge.
Slightly below the market value at $9,750, sits the first support highlighted by the previous low one hour, the Fibonacci retracement level and the Bollinger Band 15-mins middle among other key indicators.
A break above $10,000 could take some time to materialize. However, when the door opens, the bulls should brace themselves for more selling activities at $10,260 and $10,362.
Further down, BTC/USD will find support at $9,648, $9,444, $9,240 as well as $8,935. Meanwhile, the prevailing sideways action is likely to continue in the near term as bulls prepare and gather strength for the next rally targeting $10,500.
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