Bitcoin Price Outlook – Bitcoin Continues to Struggle

Bitcoin Technical Analysis

The Bitcoin market has fallen a bit during the early hours on Tuesday, breaking back below the 200 day EMA as the bump that we got over the weekend from the crypto strategic reserve announcement in the United States has been completely wiped out. And I think part of this is that the knee-jerk reaction got people out of bad trades. And then on top of that, they are now starting to question how does this actually play out? How does the United States accumulate crypto? How do they go about storing it, how do they go about making decisions, things like that, and just how difficult it might be?

And the reality is it may need to be passed through Congress. So basically that bump was a shorting opportunity. That being said, over the longer term, I still think Bitcoin is an asset that you buy and you don’t want to short overall. And I even think that there is a little bit of a range here, right around 75,000, 76,000, where there is a significant amount of support. So, I’ll be watching that very closely to see if that holds.

After all, that was the previous resistance barrier in the consolidation that lasted for months. And therefore, I think you need to keep that in the back of your mind. The market breaking back above the $90,000 level would be a good sign, especially now that it wouldn’t be a knee-jerk reaction. But really at this point, I think most traders are just accumulating. If you are playing Bitcoin levered, you probably blew up your account and you probably aren’t watching this. But that being said, it is worth noting we are approaching a significant support level.

And if you do like I do, where you just accumulate automatically weekly, you don’t really worry about this. You understand that over the longer term, it tends to do this, and then it will bounce, and then it will take off again. You can see that there is that massive support right around 75,000 that I think will come into the picture. If it breaks down below there, then it’ll be interesting to see how far we could fall. We could even be talking about $60,000. But right now, I think we’re trying to settle into a new range.

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