Bitcoin price prediction: Bull got tired, but $4,000 still defended - Confluence Detector
- BTC/USD hovers around $4,000 as the upside momentum is losing steam.
- The critical support is created by$3,500 handles.
Bitcoin hovers around $4,000 after a short-lived dip to $3,900 during European hours. The digital coin No.1 has been consolidating gains on Friday after a strong rise since the beginning of the week. The market sentiments have improved after a collapse towards critical $3,100.
BTC/USD the daily confluence detector
Bulls need to push the price above the resistance area that goes from the current level up to $4.060-70. It is created by a confluence of technical indicators that include: 38.2% Fibo retracement daily, previous 15 min low, previous 1-hour low, SMA10, 15-min, SMA10 and SMA5 1-hour, Bollinger Band 15 min Middle, Bollinger Band 1 hour Middle, SMA5 4-hour, previous high 1 hour, 23.6% Fibo retracement daily.
Once it is cleared, the recovery may be extended up to $4,500 with little in terms of resistance levels on the way. However, Bolinger Band 4h-hour Upper and 23.6% Fibo retracement Monthly around $4,200 may trigger some profit-taking.
Meanwhile, the support area below the current price includes the previous 4-hour low, 1-hour Bollinger Band Lower, 1-hour Bollinger Band Lower, SMA10 4-hour, SMA200 15-min, SMA50 1-hour, 161.8% Fibo retracement weekly, Pivot Point 1-week Resistance 3. It goes all the way down to $3,900.
A sustainable movement below the said area will open up the way towards the next barrier at $3,800 strengthened by Pivot Point 1-week Resistance 2 and Pivot Point 1-day Support 1. Meanwhile, SMA5 daily and the previous week high located under $3,600 is the last barrier before the critical $3,500. It is strengthened by a host of SMA levels, including SMA100 and SMA50 4-hour and SMA200 1-hour.
BTC/USD 1D
Author
Tanya Abrosimova
Independent Analyst
