Bitcoin Price Outlook – Bitcoin Continues to Look for Momentum

Bitcoin Technical Analysis

Bitcoin has rallied slightly during the early hours on Monday, but really at this point in time, I think we are just going to continue to chop overall. We have tested the 200 day EMA, as well as the 50 day EMA, and found them to be a bit of resistance. But what’s even more important is they are about to cross kicking off the so-called death cross. Now, I don’t really particularly subscribe to that school of thought as it being a major trading signal. But what I do look at it as is a potential negative bias.

Nonetheless, though, I think at this point in time, what we’ve got with Bitcoin is more or less a sideways market that is trying to find some type of basing pattern. And the $75,000, for me at least, continues to be a major support level. We do have a lot of resistance near the $90,000 level. So if we were to break above there, I think that would be the sign that you need to see in order to get bullish on Bitcoin again.

All things being equal, I have been buying short-term dips in this market as an opportunity to pick up more and build to a core position for a longer-term investment. If you are shorter term, then you’re probably looking at this $15,000 range as your playground. I suspect at this point in time, we are more likely than not to pull back, offering yet another opportunity for me to dollar cost average into this position.

But if you’re a shorter term trader, you may be looking for a pullback toward the roughly $80,000 level, maybe a little bit lower than that. Nonetheless, if we get a major risk on type of rally, that obviously helps Bitcoin, which is very sensitive to how things play out in other markets these days, especially the NASDAQ. So, with that, keep an eye on multiple markets and keep your position size reasonable.

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