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Bitcoin Price Forecast – Bitcoin Continues to Find Buyers on Each Dip

By:
Christopher Lewis
Updated: Mar 5, 2024, 15:56 UTC

The bitcoin market failed at the all-time high early during the session, only to turn around and plunge toward the $65,000 level.

In this article:

Bitcoin Technical Analysis

Bitcoin has fallen to the $65,000 level only to turn around and show signs of life again. By doing so, the market looks as if it is going to continue the behavior that we have seen. And at this point, we’ve basically reached the all-time high during the early hours of the session, we pulled back and now we’ve bounced again. The question at this point in time is going to be one of momentum. It certainly isn’t one of the trend. It certainly won’t be one of whether or not there’s any demand for the ETF because do not mistake what you’re seeing on the chart. This is demand driven by the ETF on Wall Street. That’s all it is. So, the question then becomes whether or not it is a sustainable route.

Only time will tell. I do know that the trajectory that we have is not sustainable. Sooner or later, we run out of people on Wall Street to buy paper Bitcoin, and therefore, the ETS will stop jumping in and buying. That being said, Bitcoin is being ran up at such a rapid rate that sooner or later, somebody’s going to take quite a bit of profit.

And when they do, it could get more selling. So, I do think that we have a wicked correction coming. There’s no real sign of it yet. So, if you have to be involved, obviously you want to be long only, but you can’t short this market, but I do think that you get a better opportunity down the road, when that is, I don’t know. To be honest with you, we’re somewhat in uncharted waters at the moment.

So, it’s really difficult to make that call. But one thing that I do know that you can easily quantify is that Bitcoin has rallied 160% since October. It’s an extraordinarily expensive asset if you look at it through those glasses, however it’s worth noting that almost nobody is overly worried about it at the moment.

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About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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