- The Bitcoin market was rather ugly during the trading session on Tuesday as the $125,000 level has offered massive resistance. Ultimately, this is a market that I think, given enough time, we probably find buyers looking for some type of value.
- And it's possible that we could go looking to the $120,000 level. The $120,000 level is a large, round, psychologically significant figure that probably has a bit of market memory. If we break down below there, then the $117,500 level could come into the picture to offer support as well.
Bitcoin and the NASDAQ
Ultimately, this is a market that tends to move right along with the NASDAQ overall, and the NASDAQ has had a very rocky session, so this is not a huge surprise. Given enough time, I anticipate that this market pulls back enough in order to find value. And that value, I think, has people looking at this through the prism of trying to buy the bouts. The question now is where does it happen? The upward trajectory remains here, and volume did pick up quite a bit over the last week, but we had something along the lines of seven out of eight candlesticks in a row that were green. Sooner or later, gravity had to come into the picture. Gravity, of course, offers value. So I think that's your job as a trader is to simply wait and see whether or not you pick up cheap Bitcoin, it looks like it is going to be offered soon. And if that's the case, you probably need to take advantage of it if you are in fact interested in this market. I have no interest whatsoever in shorting Bitcoin. It's far too strong. It has been for far too long. And therefore, I just simply look for opportunities, a little bit of momentum to the upside to get into the position.
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