Search ForexCrunch
  • BTC/USD is vulnerable to further losses as the recovery falters.
  • A sustainable move below $8,050 will take the price to $7,800.

Bitcoin (BTC) is changing hands at $8.,150, down nearly 2% on a day-on-day basis. The first digital coin is vulnerable to further losses as inability to move above $8,300-$8,400 barrier adds bearish notes to the short-term outlook.

Read also: The cryptocurrency market update: bears run the show again

Bitcoin confluence levels  

During early Wednesday hours BTC/USD  tested area below $8,100. Despite the recovery from the intraday lows, the upside momentum remains weak, which bodes ill for Bitcoin bulls. There are a few barriers both below and above the current price, though the move to the South looks like a path of least resistance.  

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

Resistance levels

$8,300 – the middle line of Bollinger Bands on four-hour chart, the lower line of one-hour Bollinger Bands, SMA50 (Simple Moving Average) one-hour and 61.8% Fibo retracement daily.
$8,600 – 23.6% Fibo retracement weekly, the upper line of the daily Bollinger Band, Pivot Point one day Resistance 2;
$8,850 – Pivot Point one week Resistance 1, the highest level of the previous week;

Support levels

$8,050 – Pivot Point one-day Support 1;
$7,800 – the lowest levels of the previous week, Pivot Point one-week Support 1;
$7,250 – Pivot Point one-week Support 2.

fxstreet original