Potential signal:
- I’m a buyer of Bitcoin right here, right now with a stop loss at $113,800, and a target of $121,000.
Bitcoin markets have rallied a bit during the trading session on Thursday as we have broken above the crucial $117,000 level, kicking off what could be the next leg higher. After all, Bitcoin has got the interest rate cuts that everybody expected out of the Federal Reserve, and of course Bitcoin is built to avoid it fiat currency, and therefore loose monetary policy tends to help it.
Top Regulated Brokers
Trend Intact
The bullish trend seems to be intact, as breaking out of the short-term consolidation area is a sign of confirmation. We are above the 50 Day EMA, which also helps and of course have been in an uptrend for most of the last couple of months, despite the fact that we have just seen a somewhat significant pullback. Bitcoin of course is an institutional asset at the moment, and that means that the traders on Wall Street have to be happy about the overall risk profile the markets to get involved. With the action that we have seen in NASDAQ 100 and other indices during the day, I do think that remains the case.
If we do pull back, the 50 Day EMA at the $113,838 level could offer a bit of support, followed by the $110,000 level underneath there. Anything below the $110,000 level would be a bit surprising. However, keep in mind that if we were to pull back from here you could in theory get a bit of a “lower high” to go with the “lower low” that we have just formed. That would be the beginning of the downtrend, at least as some traders look at the charts. Regardless, the Bitcoin market continues to move on risk appetite more than anything else so just make sure that people are willing to buy riskier assets, as the actual real-life use and scenario for Bitcoin has nothing to do with what you see on the chart. You don’t really use it anywhere, and it has been so many different things that will be bullish that sooner or later it’s just a momentum play. I believe that remains the same.
Ready to trade daily Bitcoin forecast? Here are the best MT4 crypto brokers to choose from.