Bitcoin Weekly Price Forecast – Bitcoin Continues to See Buyers on Dips

Bitcoin Weekly Technical Analysis

The Bitcoin market has pulled back a bit during the trading week and now looks as if it is doing everything it can to find a little bit of support. At this point the $58,000 level seems to be of interest, but we also have more support underneath at the 50-week EMA near the $54,000 level, and the $50,000 level underneath there, which I think is a major support level, especially the way we bounce from there. If we were to break down below the $50,000 level, that would be extraordinarily negative for bitcoin and we would probably see a deep correction.

That wouldn’t be out of the realm of possibility because quite frankly, there’s been a couple of times in the past where Bitcoins made a major leap forward as far as public perception, only to see it hammered. For example, all one has to do is think about when Bitcoin futures started trading. That was literally the top of the previous uptrend. At this point, the ETF of course has a lot of people excited about it, but we still haven’t reached the highs from that ETF push. And that is something to take into serious consideration.

I think what we’ve got here is basically an index. It’s going to be an index on crypto and risk. It’s going to be like the S&P 500 for whether or not people are willing to step out further in the asset spectrum. With that, it does have a little bit of a proclivity for support, but I don’t think it’s going to have support at all times, and I don’t think it’s going to be the explosive asset that people once fell in love with.

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