Bitcoin Price Forecast – Bitcoin Continues to See Lackluster Momentum

Bitcoin Technical Analysis

The Bitcoin market has done very little during the trading session on Tuesday in the early hours as we are hanging around just below the $57,500 level. This is an area that’s been important a couple of times in the past, so it’s not a huge surprise to see that it’s offering a little bit of resistance. It’s also worth noting that when you look at the Bitcoin market from the longer term standpoint, you can see that we peaked after that ETF announcement and money flowing into it and have done nothing but sold off at lower levels since then. I don’t necessarily think that Bitcoin is going to completely fall apart, and I certainly don’t think it’s going to zero. But what I do think is that this was a little bit of a pump and dump.

So, at this point in time, it really comes down to your timeframe. If you are a true believer, then you would love to see Bitcoin drop down to $40,000, for example. But if you are more of a trader, like I think most of you are, it continues to be “fade the rally.” In fact, we failed right out the 200 day EMA on the daily chart during the day.

So, if we drop from here, we could very well make another attempt at the $50,000 level. On the other hand, if we were to break above the $59,000 level, then it’s possible we could go look into the $62,000 level, but that would still at that point be a lower swing high. So Bitcoin’s really lackluster at the moment, and that is something that you need to keep in the back of your mind.

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