- BTC/USD jumps above $4,000 after short-term correction.
- The critical support lies with $3,500.
Bitcoin jumps above $4,000 during early European hours. The most significant digital coin has recovered from the intraday low at $3,667 gaining over 9% in a matter of hours. BTC/USD is poised to a decent Santa’s rally, however, while Bitcoin enthusiasts will get hope for a sustainable recovery.
BTC/USD the daily confluence detector
The area above the current price is practically free from obstacles. If the price manages to stay above $4,000 over the night, the upside may be readily extended towards $4,200 (23.6% Fibo retracement monthly) and $4,500.
Meanwhile, the path to the South looks more complicated due to some technical levels clustered below the current price.
The first support zone starts at $3,950 and goes down to $3,900. It is created by a confluence of technical indicators, including SMA200 4-hour, 161.8% Fibo retracement weekly, 4-hour Bollinger Band Middle, 15-min Bollinger Band Upper, Pivot Point 1-week Resistance 3 and the previous day high.
Once below, the sell-off may be extended towards $3,750, guarded by 1-hour Bollinger Band Middle, 15-min Bollinger Band Upper, 61.8% Fibo retracements daily and SMA100 15-min.
The ultimate short-term support lies with $3,500 with a series of strong levels located just below this handle. They include 61.8% Fibo retracement weekly, 161.8% Fibo retracement daily, Pivot Point Daily Support 2 and Previous Month Low.
BTC/USD, 1D
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