Bitcoin Technical Analysis
Bitcoin attempts to recover yet again on Friday as we have seen the jobs number struggle to show the same type of resiliency in the US economy. That being said, this is all based on interest rate expectations coming out of the Federal Reserve more than anywhere else. That being said, there are a lot of things in the ECB statements, and even the Bank of Japan that Bitcoin traders will like as well.
So, the idea of course is now that we are trying to recapture the $60,000 level, then perhaps Bitcoin may have a little bit of a lifeline here. That being said, we are still dealing with quite a bit of resistance just above, so I would be a bit cautious at this point. Ultimately, this is a market that will more likely than not continue to be very noisy.
That’s just the nature of Bitcoin anyways, but having said that, I think we have a situation where traders continue to look at Bitcoin as a gimmick in the sense that they are trying to get away from the central banks around the world. And as long as that’s the case, we may see a little bit of momentum brought into this market due to the fact that if central banks are going to have to loosen quicker, that’s exactly the environment that Bitcoin prefers. If we continue to fall, then the $52,000 level underneath will end up being a major support level that might be interesting to get long at.
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