- Bitcoin has shown itself to be somewhat positive during the trading session on Monday, but at this point in time it’s obvious that Bitcoin is struggling to find a lot of upward momentum, and it wouldn’t surprise me that we continue to see a little bit of back and forth trading.
- Because of this, I think you have to be somewhat cautious about getting overly excited about buying Bitcoin at the moment, but it does have a clear longer-term trend in general.
Technical Analysis
Top Regulated Brokers
The technical analysis for Bitcoin remains bullish, despite the fact that we are sitting just below the 50 Day EMA. The $110,000 level is an area that will continue to attract a lot of attention in general, so I do think you have a situation where it’s possible that we continue to see that the a bit of a “magnet for price” going forward, and therefore a little bit of a “mean reversion” trade could be in the works here. That would be the bearish case, and I don’t think it would get much worse than that at the moment.
That being said, if we can break above the 50 Day EMA, then it’s possible that we could see Bitcoin take off toward the $117,000 level, possibly even as high as the $120,000 level. This is a market that tends to thrive in loose monetary policy situations, and it does look like the Federal Reserve is going to cut interest rates. However, you can also make an argument that if we enter a very severe “risk off” scenario, then traders are going to be a bit hesitant to start buying Bitcoin when everything else is falling apart. Remember, it’s now an institutional asset, so it will behave like most other things on Wall Street. Ultimately, I think you’ve got a lot of volatility at the moment, but it’s probably only a matter of time before buyers eventually find a reason to pump this thing higher again. Caution is a better part of valor at the moment.
Ready to trade daily BTC/USD forecast & predictions? We’ve made a list of the best Forex crypto brokers worth trading with.