Bitcoin Price Outlook – Bitcoin Continues to See Pressures in Profit Taking

Bitcoin Technical Analysis

The Bitcoin market has gone back and forth during the early hours on Tuesday as we continue to see a bit of profit taking near the $100,000 level. All things being equal, this is a market that I think continues to see whether or not the $90,000 level could hold. We got to the $100,000 level rather quickly and then started to see a lot of the usual chatter on social media and the usual memes and the usual expressions that you hear right before you see a cycle peak.

Now that doesn’t mean this is the cycle peak. What it means is a lot of the so-called dumb money is now chasing. And that’s generally when those who are a little bit deeper in the pockets will offer the asset for the person to buy so that they can offload what is to become the exit liquidity, their assets, and then once this falls, they’ll buy it again. It’s a simple matter of riding the wave higher.

Now, I do believe that Bitcoin eventually does break above the $100,000 level. I just don’t know how quickly that’s going to happen. After all, we just went through a consolidation that lasted an entire year and then shot straight up in the air 25%. It’s a bit much, and therefore, it wouldn’t surprise me at all to see a pullback to the $80,000 level. In fact, I think that would be healthy.

Now, whether or not we get that again, I don’t know. What I do know is you don’t want to short this market, but you probably have some time to buy here. Boos like this, big volume spikes, you know, a lot of times they can mean something, but they don’t necessarily have to. For example, the last major volume spike we saw was right before we went sideways for a year, and that was after the announcement of the ETF. So, I do think a little bit of a pullback makes more sense than not, but I don’t necessarily think it’s the end of the trend. I just think we need to come back down to earth for a little bit.

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