Bitcoin Top Price Prediction: Ready for fireworks above $7,000 after piercing major resistance – Confluence Detector
BTC/USD moved up to the $6,700 and enjoyed a lot of momentum doing so. The road ahead is much clearer and it could shoot even higher on the 4th of July.
The Technical Confluence Indicator shows that the break above $6,579 was very significant. This is the congestion of the Simple Moving Average 5-4h, the Fibonacci 23.6% one-day, the SMA 10-1h, the Bolinger Band 1h-Middle, the SMA 50-15m, the SMA 100-15m, the Fibonacci 38.2% one-month, the Fibonacci 38.2% one-day, and the Bolinger Band one-hour Middle. This level now switches into strong support.
The road up ahead is much clearer. The next substantial convergence of technical levels is at $7,034 which is where the Fibonacci 61.8% one-month and the Pivot Point one-week Resistance 3 meet.
The next target notable level is much higher: $7,553 which is the Pivot Point one-month Resistance 1.
Looking down below the $6,579, the next line is close: $6,440 which is the confluence of the SMA 5-one-day, the PP one-day S1, and the PP one-week Resistance 1. Lower, $6,267 is the convergence of the Bolinger Band one-hour-Lower, the Fibonacci 23.6% one-month, and the SM 10-one-day.
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.
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.
