Bitcoin Price Outlook – Bitcoin Continues to See Buyers on Dips

Bitcoin Technical Analysis

The Bitcoin market continues to see a lot of back and forth right around the $90,000 level, which does make a certain amount of sense, considering that there will probably be a lot of options traded there. But also, there is a certain amount of psychology attached to a number like $90,000. Short-term pullbacks are very possible, and I think, quite frankly, they will attract value hunters. The $74,000 level underneath is a major support level, as it was a major resistance barrier. Now that we find ourselves in this environment, keep in mind that the Bitcoin market is supported by Wall Street now, as Bitcoin’s basically an ETF.

So, with that being the case, institutional traders will continue to try to support it for their clients. And therefore, you have to think of Bitcoin now like the S&P 500. The volatility will shrink, although we did have a nice breakout, but it wasn’t that long ago that Bitcoin had 15% moves in a single day. So, with that being said, I think you are starting to see the maturation of the overall market, meaning that we will probably go higher in a more orderly fashion over the longer term.

Based on the rounded bottom that we broke out of, we were expecting a move to $98,000, and I think that does make a certain amount of sense. And I know a lot of traders are gung-ho on the idea of $100,000, which really there’s nothing on this chart that tells me it can’t get there. That being said, now that it’s a widely followed Wall Street toy, Bitcoin will continue to go higher over the longer term.

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