Bitcoin Price Outlook – Bitcoin Continues to See Pressures on Wednesday

Bitcoin Technical Analysis

Bitcoin has been back and forth during the early hours on Wednesday as we continue to test the crucial $75,000 level. This is an area that I think a lot of people will be paying close attention to as it is previous resistance and of course, it is a large realm psychologically significant figure. Because of this, I think you have a potential bounce here, but we have to be cognizant of the fact that the risk appetite right now is pretty poor. And as long as that’s the case, we could see Bitcoin suffering.

If we were to break significantly below the $75,000 level and then Bitcoin could fall apart. On the other hand, if we turn around and break above the $80,000 level, it could send Bitcoin back towards the 200-day EMA, which currently resides right around the $85,000 level. There are a lot of concerns around the world right now with risk appetite and risk assets, and of course, Bitcoin has not completely avoided this.

It sold off before a lot of the other assets, but now it’s trying to hang out in this same consolidation pattern it’s been in for some time. Ultimately, this is a market that I think given enough time probably recovers, but we need to see more risk appetite out there in other assets before people step further out into the risk spectrum in something like Bitcoin. We need to see the stock market settle down, quite frankly. So if and when that happens, I suspect you’ll see an attempt to rally.

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