Bitcoin Price Prediction: BTC/USD struggles to build momentum to $11,500 – Confluence Detector
|- Bitcoin recovery from the dip to $11,100 stalls under $11,500 as selling activities intensify across the market.
- BTC/USD could be treated to a relatively smooth ride above towards $12,000 as long as the hurdle at $10,552 is overcome.
Bitcoin price has been forced to explore lower levels heading to $11,000. The move came into the picture after multiple failed attempts at sustaining gains above $12,000. Sellers have also been keen on revenging the impressive price action Bitcoin has achieved in less than three weeks.
Bitcoin hit a yearly high in addition, it appears to have established support at $11,000 if not $11,100 in spite of the losses incurred in the last 24 hours. BTC/USD is trading at $11,375 at the time of writing. Bulls are focused on building on the shallow recovery from the short term support at $11,100. However, it is apparent that this recovery will not come easy especially with the first confluence resistance at $10,552.
According to the confluence tool, the indicators in this zone ($10,552) range from the Fibonacci 38.2% one-day, the previous month high, the 100 SMA 15-minutes to the Fibonacci 61.8% one-week. It is the strongest seller congestion area which means that if broken the path towards $12,000 would be relatively easy.
However, there are other significant resistance zones as highlighted by the confluences at $11,670 and $11,789. The indicators at the latter zone include the SMA 200 15-minutes, SMA 50 1-hour, the Bollinger Band 1-hour upper and the Bollinger Band 4-hour middle. Similarly, the indicators in the zone at $11,670 are the previous high 15-minutes, the Bollinger Band 15-minutes upper curve, the previous high 4-hour and the Bollinger Band 1-hour middle.
On the downside, initial support is seen at $11,197 as highlighted by the previous low 1-hour, the Bollinger Band 15-minutes lower curve, the previous low 1-hour and the Fibo 38.2% one-week. The second key support is shown at $11,079; a confluence formed by the previous day low and the Bollinger Band 1-hour upper. Other key support levels include $10,961, $10,606 and $10,487.
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.