Bitcoin Price Prediction: BTC/USD inverse H&S pattern, is a rally to $10,000 imminent? – Confluence Detector
- 19th June 2020
- Posted by: Hakeem
- Category: FOREX LATEST NEWS DAILY, FOREX MARKET ANALYSIS, TECHNICAL ANALYSIS
- Bitcoin price spiraling towards $9,200 support after $9,400 and $9,300 caved in.
- The formed H&S pattern is Bitcoin’s remaining ticket to $10,000 but where is the volume?
Bitcoin price continues to suffer under the strong arm of the bears. The rejection from $9,600 seems unstoppable until Bitcoin returns to $9,000. Thursday’s support above $9,400 failed to hold, leaving a gap that has been explored by the bears. Bitcoin has slipped under $9,300 (the Asian session support). At the moment, the largest cryptocurrency by market capitalization is trading at $9,270.
The 1-hour chart shows Bitcoin trading under the moving averages. The 100 SMA is holding the position at $9,394 while the 50 SMA is currently at $9,415. The dive under $9,300 is likely to have rejuvenated the seller’s energy because Bitcoin continues to fall towards $9,200.
The inverse head and shoulders bullish scenario
Although the bulls in the market are enduring yet another battering this week, hope is not lost. The formation of the H&S pattern as observed from the chart shows that Bitcoin could soon reverse the trend massively towards $10,000. H&S pattern is usually useful in technical analysis to predict reversals from downtrends. In this case, a bounce is expected at $9,200, leading towards the psychological $10,000.
BTC/USD 1-hour chart
Bitcoin daily confluence resistance and support levels
Resistance one: $9,330 – Highlighted by the Fibonacci 23.6% one-week, the previous high 15-minutes, the Bollinger Band 1-hour lower, Bollinger Band 4-hour lower curve and the Fibo 23.6% one-day.
Resistance two: $9,426 – The selling pressure in this zone is highlighted by the Bollinger Band 1-hour middle curve, the SMA 100 1-hour, SMA 100 15-minutes, the previous high 4-hour, and the 61.8% one-day.
Resistance three: $9,619.76 – This zone is home to the SMA 100 4-hour, the Bollinger Band 1-day middle curve, and the Fibo 161.8% one-day.
Support one: $9,233 – Highlighted by the previous low 1-hour, previous low 15-minutes, previous low one-day, and the pivot point one-day support one.
Support two: $9,137 – The zone where the pivot point daily support and the previous week low converge.
Support three: $8,944 – Highlighted by the Fibonacci 61.8% one month.