Bitcoin Price Outlook – Bitcoin Continues to See Support

Bitcoin Technical Analysis

Bitcoin has rallied slightly in the early hours on Wednesdays as we continue to see a lot of back and forth. If you remember I had suggested over the last couple of days that we may have a little bit of back and forth action between $90,000 and $100,000 and I still believe that and I still think that on the situation where despite the volume pickup, I think it’s a lot of FOMO trading and that’s not generally enough to get the markets moving when you have institutions involved.

Even if we were to break down below the $90,000 level, I do think that the $80,000 level is likely to end up being massive support. Not only is it a large round psychologically significant figure, but it’s also where we see the 50 day EMA. Because of this, I do think that there would be a little bit of a pushback if we tried to break down below there. That being said, if we do rally from here and I think we probably will, the $100,000 level will continue to be a psychologically significant barrier that a lot of people will have to pay attention to. If that’s going to be the case, then you’ve got a scenario where it probably takes several attempts, but once we do break above the $100,000 level, I suspect that there will be a lot of momentum in this market.

When you look at the chart, you can see we’ve gone straight up in the air, so quite frankly, it wouldn’t be a bad thing to pull back towards the $80,000 level. It would still look extraordinarily bullish; it just would look like Bitcoin finally acknowledged gravity.

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