- Bitcoin struggled to hold on to the gains above $8,000 with the upside capped under $8,100.
- BTC/USD must clear $8,200 resistance for a breakout towards $9,000 in the near-term.
BTC/USD is trading higher 1% on the day following an elongated period within a tight range between $7,500 and $8,100 to the upside. The motionless trading comes after last week losses found support at $7,500 giving way for rebound above $8,000. Bitcoin struggled to hold on to the gains above $8,000 with the upside capped under $8,100.
According to the confluence detector tool BTC/USD is initially supported at $7,973.62 (buyer congestion zone). Various technical levels have converged to make this one of the strongest support areas. The confluence at this level include SMA 10 1-h, Bollinger Band 15-min middle, SMA 5 1-h, previous low 1-h, SMA 10 15-min, 5 SMA 15-minute SMA 10 4-h among others.
Bitcoin does not have as many support levels at the moment. If the above support is overwhelmed, the next anchor target is $7,640.18. The confluence at this level is made by the 38.2% Fib level 1-min and the Bollinger Band 4-h lower.
It is essential that the buyers sustain the price above this level to ensure that Bitcoin does not tank to levels close to $7,000.
On the upside, above the current price the first resistance is observed at $8,140: Previous high 1-hour, previous high 4-h, pivot point 1-D R1 and the Bollinger Band 4-h upper. A break past $8,200 is likely to launch Bitcoin into a surge towards $9,000 but first, the buyers must clear the resistance at $8,223 highlighted by the Fibo 23.6% 1-min, BB 1-D Middle and the SMA 100 4-h.
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