Bitcoin Top Price Prediction: Back to school and breaking higher, new trading range defined – Confluence Detector
As American go back to school and work after the long Labor Day weekend, the BTC/USD made another break higher, reaching the highest levels since late July. The gradual grind higher continues. Bitcoin has a good base on the solid ground and a clear target to the upside.
The Technical Confluence Indicator shows that Bitcoin has significant support at $7,334 which is the convergence of the 1h-low, the 4h-high, the Pivot Point one-day Resistance 1, the one-day high, the Simple Moving Average 10-15m, and the Bolinger Band 1h-Upper.
From this base, the BTC/USD can move up. $7,403 is the initial target with the confluence of some mid-intensity lines: the BB one-day Upper and the Pivot Point one-day Resistance 2.
The most substantial target is $7,471 which is the meeting point of the Pivot Point one-week Resistance 2 and the Pivot Point one-day Resistance 3.
Below $7,334 we find $7,277 as the confluence of the SMA 50-1h, the 4h-Low, the SMA 10-4h, and the Fibonacci 61.8% one-day.
The range is clear and we can expect consolidation on this higher ground
Click to see the Full Confluence Indicator
Here is how it looks on the tool:
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
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This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacents price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
Author
Yohay Elam
FXStreet
Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.
