Bitcoin Forecast Video for 13.12.23
Bitcoin Technical Analysis
Bitcoin has rallied just a bit during the trading session on Tuesday, as we are trying to recover from the massive selloff on Monday. Ultimately, the $40,000 level underneath is a large, round, psychologically significant figure that a lot of people will be paying attention to, especially as it is backed up by the 20-Day EMA. With this being the case, the market is likely to continue to see a lot of choppiness, but I do think that given enough time, the market is likely to go higher, especially if we can break through the top of the Monday candlestick, because it would be a complete rebuke of selling pressure. As long as we can stay above the $40,000 level, I think this remains very important, and of course a lot of people will be paying close attention to it. If we were to break above the recent trading action, I think it kicks off the next leg higher.
At this point, the market is likely to continue to see a lot of noisy behavior, but I do think the buyers are almost certainly going to jump back in. The RSI has dipped below the overbought scenario, so it’s likely that the technical traders out there will be looking into this as well. The next couple of days will have a major influence on what happens in the crypto markets as central banks and their monetary policy will have a major influence on bonds.
If we start to see yields fall again, that is very bullish for the Bitcoin market, and therefore I think it’s likely that we could see Bitcoin go racing toward the $45,000 level, perhaps even as high as 47,500 over the longer term. With that being the case, I think there will be plenty of buyers involved. However, if we were to turn around and break down below the $37,000 level, then it’s likely that we could break down a bit, perhaps reaching down to the $35,000 level. Keep in mind that we are heading into the holiday season, so it does make quite a bit of sense that we would see liquidity come into play as well.
