- BTC/USD bears made another assault at $3,900.
- The way to the upside is packed with technical levels.
Bitcoin (BTC) stays dangerously close to $3,900 support. The first cryptocurrency made another attempt to break the above said barrier and touched $3,889 low ahead of European opening; however, positioning and profit-taking on speculative positions pushed it back. Currently, it is moving within a short-term bearish trend amid growing volatility.
Above the current price, technical resistance levels go all the way towards $4,200. This area is practically packed with barriers and obstacles that might hamper the recovery and dispel bulls’ enthusiasm.
A strong area on approach to $3,930-50 is created by a confluence of SMA levels, including SMA50 15 min, SMA5 1-hour, SMA10 4-hour, SMA5, 4-hour; midlines of Bollinger Bands on 15-min, 1-hour, 1-day charts and also an upper boundary of 15-min Bollinger band.
Once it is cleared, another strong area on approach to $4,000 will come into view, It contains SMA200 1-hour, SMA50 4-hour, SMA10, daily, upper boundary of 1-hour Bollinger band and 38.2% Fibo retracement daily.
Below the current price, a sustainable move below $3,900 will take us to the next support of $3,850 created by a confluence of 38.2% Fibo retracement monthly, pivot Point 1-week Support 2, Pivot Point 1-day Support 1 and the lowest level of the previous day.
Once below, the sell-off may continue towards $3,800 strengthen by DMA50.
BTC/USD 1D
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