Bitcoin Price Outlook – Bitcoin Continues to See Buyers Despite Pullback

Bitcoin Technical Analysis

The Bitcoin market pulled back just a bit during the early hours on Thursday as we are trying to get our footing after that massive breakout of the $74,000 region. With that being said, it should be noted that there was a lot of volume on Wednesday, and this may be due to the fact that the Trump administration in the United States, as well as many of the congressional members that picked up seats, are actually crypto-friendly. If that’s the case, then it’s very possible that down the road we’ll see a lot more use of Bitcoin. We may finally get a reason to use it.

Now I think the reality is probably a bit different, but it at least is a step in the right direction. So, with all of that, as we have been looking at this for several months and suggesting that eventually we’ll try to break out, it looks like we have. So short-term pullbacks, and I would expect one, mainly due to market memory and of course the idea that the Federal Reserve has an interest rate decision later in the day and a press conference, should end up being buying opportunities.

The 50-day EMA is near the $67,000 level and rising, so I think that might be one technical indicator to watch. But nonetheless, I look at this through the prism of a market that has fallen pretty significantly after the ETF excitement abated to reach just below $50,000 and we broke above $74,000. You could make an argument for a measured move here of about $24,000, so that’s about $98,000 before it’s all said and done. It’s possible, I mean, it would make a certain amount of sense, it’s Wall Street’s new toy, they don’t want the ETF failing. So, there is going to be those inflows regardless.

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