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Bitcoin Price Forecast – Bitcoin Pulls Back Slightly on Thursday

By:
Christopher Lewis

The Bitcoin market has pulled back just a bit during the day on Thursday, as it looks like we are trying to find some type of value.

Bitcoin and chart, FX Empire

In this article:

Bitcoin Forecast Video for 08.12.23

Bitcoin Technical Analysis

Bitcoin pulled back slightly during the trading session on Thursday, as it looks like we are trying to find some type of value. The market is obviously bullish over the last several weeks, but at this point may have gotten a little ahead of itself. If we can get some type of pullback toward the $40,000 level, I would be very interested in buying, but right now it looks like we still don’t have enough value in the market to start putting a bunch of money into it. The $40,000 level is an area that will be attractive to traders as they tend to like these large, round, psychologically significant figures.

On the upside, if we break above the $44,000 level again, then we probably don’t get the pullback that we are looking for. The market is eventually going to go look into the $47,500 level, but I think also we have to keep in mind that the Bitcoin market will be influenced by the bond markets, so pay close attention to what the 10 year yield is doing in the United States. With the jobs number coming out on Friday, it’s very likely that the yield will get thrown around in America.

Regardless, I don’t have any interest in shorting Bitcoin at the moment, it is far too bullish. For what it is worth, it’s also worth noting that the RSI is still in the overbought condition, but it looks as if it is breaking back toward the 70 level. If we can break down below the 70 level, then it’s possible that we could see buyers come back in as well. It’s not that anything is changing with Bitcoin at the moment, it’s more or less just that there has been an overbought condition that needs to be worked off either through consolidation, or preferably through some type of pullback in order to have more people throw money into this market. Either way, I do believe that we go looking toward the $47,500 level given enough time, and therefore I just simply wait for an opportunity to start bombing again.

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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