Bitcoin price prediction: BTC/USD consolidates gains above $4,000 - Confluence Detector
|- $4,000 turns into a strong support.
- Bitcoin futures expiration might create volatile trading conditions.
Bitcoin (BTC) consolidates above $4,000 handle, though the upside lacks momentum. BTC/USD is mostly unchanged both on a day-on-day basis and since the beginning of Friday.
The volatility may grow later during the day due to the expiration of CME’s March Bitcoin contracts.
Bitcoin confluence levels
A strong support area is spotted right below the current price. $4,000 handle turned from a tough resistance to a formidable support, enhanced by a confluence of technical indicators.
The include 23.6% Fibo retracement daily, 38.2% Fibo retracement daily, 61.8% Fibo retracement weekly, lower boundary of Bollinger bands on 15-min and 1-hour charts and a host of important SMA levels.
Bitcoin bears will need to push the price below $3,950 guarded by SMA100 on 4-hour and 1-hour charts, 23.6% Fibo retracement weekly and 38.2% Fibo retracement weekly. A sustainable move lower will trigger a new sell-off wave with the focus on $3,750.
Above the current price, the resistance areas goes until $4,100 and consists of 61.8% Fibo retracement daily, upper line of Bollinger Band on 1-hour chart and also upper lines of Bollinger bands on daily and 4-hour charts, 161.8% Fibo projection daily. Once it is cleared, the recovery may be extended towards $4,186 (previous month high) and psychological $4,200.
BTC/USD 1D
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.