Bitcoin Price Forecast – Bitcoin Continues to Consolidate

Bitcoin Forecast Video for 02-01-2024

Bitcoin Technical Analysis

Bitcoin has been slightly positive, but really at this point we still find ourselves stuck in a bit of a range, which is okay. It’s just late year trading, trying to work off a lot of the froth from the previous move higher. After all, markets cannot go straight up in the air forever, not even Bitcoin which does have a history of wild moves. With that being the case, don’t be surprised at all if we see the market try to take off before major liquidity returns, because sometimes the retail traders can kick the markets around over the weekends and holidays. However, the main takeaway is that there’s almost no real argument to short this market anytime soon. With the type of momentum it has shown, I suspect that 2024 is going to end up being very good for Bitcoin.

Currently it looks like the 20 day EMA is offering a certain amount of support and underneath there you would also have to pay close attention to the $40,000 level as it previously has offered support and of course is a large and round psychologically significant figure that attracts a lot of headlines. The Bitcoin market has gone straight up in the air over the last couple of months. Actually, since the middle of September it has gained something like 75%. So needless to say, it’s a little bit extended at this point. Short-term pullbacks continue to be buying opportunities from everything that I can see. And eventually I do think that we break higher. Remember, with the Federal Reserve loosening its monetary policy, it’s likely that we will continue to see risk appetite expand into the cryptocurrency markets.

Beyond that, crypto tends to run mostly on momentum, and there’s plenty of that in this market. The $47,500 level above seems to be the intermediate target as the area had previously been a major resistance barrier. So, I think we will have a fight on our hands there. But if and when we break above that level, then $50,000 would almost be a certainty.

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