Bitcoin Price Forecast – Bitcoin Continues to See Noise

Bitcoin Technical Analysis

Bitcoin was a bit noisy during the trading session here on Thursday, as we reached down to the 50 day EMA, only to turn around and show signs of life again. Ultimately, I think this is a market that is going to continue to be very noisy as we work off some of the excess froth from the massive move higher that we had been in.

Keep in mind that Bitcoin is also going to react to the idea of whether or not the Federal Reserve is going to cut rates with GDP somewhat slipping during the day, the advanced GDP numbers, that is, it does suggest that perhaps the Fed may cut sooner than later. So, I think there may be a play here for those who are more long term minded.

Regardless, we are in a consolidation area with the $60,000 level underneath being a major support level and the $74,000 level above being major resistance. We are closer to the bottom. So, I would be looking for value here, but be aware of the fact that if we do break down below the $60,000 level, we could drop all the way down to the $52,000 level underneath, where we have seen a bit of a cluster and I would expect to see some support.

Keep in mind that Bitcoin is inherently noisy, and therefore you have to be very cautious with your position sizing. But it is clearly in an uptrend overall and you have to look at it through that propensity. The uptrend doesn’t necessarily mean that we are going to go straight up in the air, but it means that there are buyers waiting to get involved from what I see on the charts.

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