Bitcoin price prediction: BTC/USD doomed as support fizzles out – Confluence Detector
|- Bitcoin bulls have no choice but to defend $8,000 support for dear life.
- Correction towards $9,000 will be an uphill task unless Bitcoin finds a catalyst.
Bitcoin bears have been increasing the pressure on support areas since the drop in value from $8,800 last week. Movement upwards is acutely limited with bulls deciding to remain out of the picture. Bitcoin is trading at $8,167 after failing to hold above $8,300 on Tuesday.
As discussed in the price analysis earlier today, Bitcoin is likely to refresh the lows towards $7,700 (recent low) and even breakdown to $7,000 is the price reacts to the formed flag pattern.
The confluence detector shows that there is a high concentration of resistance areas compare to the almost non-existent support zone. The most prominent resistance is seen at $8,295 and is home to Simple Moving Average 200 15-minutes, SMA five one-day, SMA 50 one-hour, and the Fibonacci 61.8% daily. Further up a cluster of medium-strong resistance levels populates the region between $8,295 and $9,060.
On the downside, the only strong support is $7,786 highlighted using the pivot point one week support one and the previous week low. In the event declines push harder towards $7,000, weak support at $7,276 will try to cushion the drop.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.