Bitcoin price prediction: BTC/USD bulls lick wounds marginally above $7,400 – Confluence Detector

• Bitcoin is vulnerable to further losses as the recovery falters.
• A sustainable move below $7,300 will take the price to $7,000.

Bitcoin (BTC) is range-bound marginally above $7,400. The first digital asset has been consolidating losses after a sharp sell-off on Wednesday. At the time of writing, BTC is paralysed in the middle of $7,500-$7,400 range. The coin has barely changed since the beginning of the day, down 3.5% on a day-to-day basis.

Bitcoin confluence levels  

During early Thursday hours, BTC/USD  tried to develop an upside correction but stopped short of $7,500, which the upper boundary of the recent consolidation channel. Bitcoin bulls’ inability to push the price above the resistance area implies that the coin may be vulnerable to further losses with the initial aim at $7,300 (Wednesday’s low) followed by a psychological $7,000.  

Let’s have a closer look at the technical levels that may serve as resistance and support areas for the coin.

Resistance levels

$7,500 – a host of short-term SMA (Simple Moving Average) levels, the middle lines of one-hour and 15-min Bollinger Bands;
$7,700 – Pivot Point one-week Support 1, the lowest level of the previous month;
$8,000 – psychological level, SMA100 and SMA200 on the one-hour chart, SMA40 four hour, 23.6% Fibo retracement weekly.

Support levels

$7,300 – the lowest level of the previous day, the lower line of four-hour Bollinger Band;
$7,000 – Pivot Point one-month Support 1;
$6,850 – Pivot Point one-day Support 2.