Bitcoin Price Outlook – Bitcoin Continues to See Sideways Action

Bitcoin Technical Analysis

The Bitcoin market has been very quiet during the early hours on Friday as we continue to hang around the two-hundred-day EMA. Keep in mind this is a market that is trying to find some type of momentum one way or the other, and right now, I think what we’re in the midst of is perhaps trying to form some type of range between the $75,000 level and the $90,000 level. As we are basically in the middle of all of that, it does make a certain amount of sense that there is a little bit of confusion.

Furthermore, keep in mind that Bitcoin is highly influenced by risk appetite, and right now, risk appetite is pretty anemic. So, with all of that, I would be a bit cautious about getting overly exposed to Bitcoin, unless you are building up along the way dollar cost averaging in order to build a longer term position for a longer term buy and hold type of setup. I do that myself, but I’m buying very small increments as we go along. So, it really doesn’t affect my cost basis too much.

If we were to break down below the $75,000 level, we could drop all the way down to $60,000. On the other hand, if we can take out the $90,000 level, which would also be taking out the 50 day EMA, the market could rise all the way back to the highs at $110,000. In the meantime, though, I think you’re looking at lot of choppy sideways action.

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