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Bitcoin Price Forecast – Bitcoin Continues to Look Sluggish

By:
Christopher Lewis
Published: Apr 17, 2024, 13:34 GMT+00:00

The Bitcoin market gave up the initial gains for the session on Wednesday, as we have seen a lot of volatility yet again. This is a market that is trying to work off massive gains, and of course has been fundamentally changed by the introduction of institutional traders.

In this article:

Bitcoin Technical Analysis

Bitcoin initially tried to rally a bit during the trading session on Wednesday. But it looks like we’re just going to continue to bounce around the bottom of consolidation. This is a market that looks somewhat miserable at this point, but as long as we stay above the $60,000 level, I think this is a situation where markets likely will probably find buyers on dips because clearly, it’s a bullish market.

But we had gotten so overextended to the upside that going sideways for a while makes a lot of sense. Furthermore, Wall Street has its hands on Bitcoin now, and the Bitcoin ETF makes it easy for institutions to go in and out of the market. In other words, they will do with this what they’ve done with every other market.

They will run it up. They will hand it off to the retail trader, say, here, hold my bags and then wait for it to fall and buy it again. It’s a rinse and repeat type of operation. Now, I don’t know if that happens now, but I think the bitcoin market is changing fundamentally, and it’s not because of any use case scenario, it’s not “the halving”, none of that.

It is because Wall Street and institutions are now going to trade it much like an index. So, with that being the case, there is the possibility of a bounce here. But we need to break above the top of the Wednesday session. Then we go looking to $70,000. If we break down below $60,000 the next support level is $52,000.

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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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