Bitcoin Price Outlook – Bitcoin Continues to See a Massive Barrier

Bitcoin Technical Analysis

Bitcoin initially tried to rally during the early hours on Tuesday, but it looks like it is giving up some of the momentum. The $120,000 level continues to be a major barrier. And until we can clear this on at least the daily close, I think you have to be somewhat cautious here. A lot of this will come down to what your timeframe is, of course, as well.

So, one way to think about this is whether or not you are a longer term holder, because if you are a longer term holder, then it’s not going to bother you much. But if you were a short term trader, the $120,000 level is the biggest level on this chart. A pullback from here would make a certain amount of sense. And this is the market that I think a lot of people are watching for risk on sentiment to return to, but that pullback I think has plenty of support near $116,000 and the 50 day EMA.

Beyond that, we also have the $110,000 level, which previously had been resistance. All things being equal, this is a market that I think, given enough time, we will have buyers looking for a bit of value. On the other hand, if we can get a solid daily close above the $120,000 level, then I think that opens up Bitcoin to go to the $130,000 level. As things stand right now, I have no interest whatsoever in trying to short this market.

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