Bitcoin Weekly Price Outlook – Bitcoin Continues to See Volatility

Bitcoin Weekly Technical Analysis

The Bitcoin market has slipped during the week after initially taking off to the upside. The Bitcoin market really started to sell off after Jerome Powell gave his press conference and suggested that the Federal Reserve might have to stay tighter than originally thought, showing just how clueless they are. Anybody that can follow a rate of change chart can recognize that inflation was ticking back up. So, with that, Bitcoin sold off probably more or less going to be due to money managers trying to raise liquidity for other issues in their portfolios.

Nonetheless, the $90,000 level underneath seems to be rather supportive, and for what it’s worth on Friday in the early hours, it looks like we are having a go at turning things around. If that is in fact the case, I suspect we might be carving out a new range. A range that extends from $90,000 on the bottom to $110,000 on the top really wouldn’t be that out of bounds for Bitcoin at all.

And in fact, it’s probably worth pointing out that recently we hit the measured move of a massive bullish flag. So, we may have to digest for a while. And for most people who deal with Bitcoin, they don’t trade it on short-term charts, they tend to accumulate and either hold forever or sell later. This might be a good opportunity for those people, especially those who are looking to hold Bitcoin in perpetuity.

I have no interest in shorting, but if we did break down below the $90,000 level, Bitcoin would be in real trouble, probably dropping down to $75,000, which would just be a round trip of the breakout. I don’t foresee that happening. I think more likely than not, we might go sideways for a while.

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