Bitcoin Weekly Price Forecast – Bitcoin Continues to See Noisy Support

Bitcoin Weekly Technical Analysis

The Bitcoin market has been all over the place during the week, but we ended up pulling back a bit. Nonetheless, this is a market that for my money, at least, looks very bullish. I think every time it pulls back, there are people willing to get involved and therefore, I think given enough time, we will more likely than not have buyers on each and every dip. That doesn’t mean that the market is going to be easy.

Quite frankly, it’s been very choppy for several months and at this point you have to assume that the $60,000 level continues to be a bit of a floor. We also have significant resistance near the $70,000 level and the $73,000 level after that. So, this of course is a scenario where the market participants are, I believe, looking for value. The Wall Street ETF brought a lot of institutional money into Bitcoin or at least institutions bringing money of their clients into Bitcoin.

And therefore, I think it’s starting to act more like an index. A lot of the Bitcoin bros wanted the adoption of Bitcoin, and they got it, but they got it from Wall Street and not in the real world. So, you have to look at this like the S&P 500. I think the exciting days of Bitcoin are long gone. Whether or not it ends up holding its value over the longer term, I think that’s still an open question.

However, if you’re looking to simply profit from selling it to somebody else later at a higher price, you’re probably going to do okay, and that, at the end of the day, is what trading is all about. There are a lot of philosophical arguments about Bitcoin, and I’ll be the first to admit that I’m not really sold on it. It really doesn’t serve any function. At least not in the real world, and certainly not yet, and the trading public out there are willing to buy it at higher prices.

That’s really all you need. It doesn’t need to be any more complicated than that. If we were to break down below the 50 week EMA at roughly $54,000, that would be a serious breach of support. And then I think at that point in time, you start to think about the cycle again, and when it bounces, do you buy it kind of trading. It’s an extraordinarily volatile asset and I don’t expect that to change, I just expect the swings to be much more compact.

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