- Bitcoin pulls back just a bit during the trading session on Wednesday, as we continue to see a lot of noise in this market.
- That being said, the $110,000 level is an area that I think a lot of people will be paying close attention to. If we can break above the $110,000 level, then it opens up the possibility of Bitcoin going to the $115,000 level, possibly even the $120,000 level. Underneath, we have the $100,000 level offering support as it was previous resistance. And it's basically been fair value for a while. Overall, the market continues to bounce around between the $90,000 level underneath and the $110,000 level above. In general, I think this is a market that eventually finds buyers on dips. So therefore, I'm looking to buy little bits and pieces as we go along.
Working Off the Froth
Ultimately, this is a market that is trying to digest and work off a lot of the froth that we have seen recently. And with that being the case, this is the type of situation where traders will continue to look for value until we get a catalyst to send Bitcoin higher. Keep in mind that we do have a pro-crypto administration in the United States now, but we haven't actually seen them do anything. That's the catch. So given enough time, once we get a catalyst, crypto will probably take off. Then, of course, Bitcoin will be the first place it happens. And not only will Bitcoin soar, but it'll probably drag everything else up with it. As things stand right now though, I think you're just looking for little bits and pieces of value on dips and taking advantage of them. I have no interest in shorting Bitcoin. And right now, it looks like it's nowhere near getting bearish. Volume has picked up recently, just a bit, but it's really close to a resistance barrier. And the volume is maybe just a bit above normal. So, I'm not overly excited. I think we are still going sideways with an upward tilt.
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