Bitcoin Price Forecast – Bitcoin Pulled Back Slightly

Bitcoin Forecast Video for 18.12.23

Bitcoin Technical Analysis

Bitcoin has pulled back ever so slightly during the early hours on Friday as we continue to work off some of the excess froth that we have seen as of late. Keep in mind that the bond market is very much in play at this point, with the interest rates having a major influence on risk appetite. If the interest rates in America continue to fall, that should help Bitcoin rally. After all, Bitcoin is very far out on the risk appetite spectrum, therefore it’s likely that the bond yields will have a lot to do with what happens next. After all, if bond yields continue to drop, people need to go out on the respective to make a return. As far as institutional investors are concerned, Bitcoin is about as far out as it gets.

Underneath, the $40,000 level continues to be a major support level, especially with the 20-Day EMA indicator hanging around that area. Ultimately, I think you’ve got a situation where the markets will continue to be very noisy, but I think you continue to see a lot of “buy on the dips” traders out there willing to pick up Bitcoin “on the cheap.”

On the upside, the $45,000 level above offers resistance, and if we were to break above there, then it’s likely that we could go looking to the $47,500 level. The $47,500 level is an area on the weekly charts that the sellers jumped all over in the past, so I think that resistance barrier is more likely than not going to be what people were aiming for. With that being the case, I am bullish but I also recognize that there might be a little bit of volatility.

Ultimately, this is a market that I think continues to see a lot of liquidity drain from it late in the year as well, so that also comes into the picture and could cause the occasional erratic move. Nonetheless, I do think that it is probably a situation where we will eventually take off to the upside. I have no interest in selling Bitcoin, at least not until we break down below the $35,000 level.