Bitcoin Price Outlook – Bitcoin Continues to See Buyers on Dips

Bitcoin Technical Analysis

Bitcoin plunged overnight as word got out that Israel had, in fact, attacked Iran, having traders sell anything remotely closely related to risk. Bitcoin, of course, is considered to be a risky asset, and therefore it is not exactly a huge surprise to see that we have reacted like this. The market turning around to show signs of life at the 50-day EMA, of course, is a good sign. And I think ultimately what you’ve got is a situation here where traders are trying to get back to the highs again near the $110,000 level. The $110,000 level of course has basically been an all-time high, really stretching to about $112,000. So, I think of it more or less as a zone, and this zone could very well end up being broken given enough time, which is my base case scenario if I am honest.

After all, the Bitcoin market reacted negatively to the news, but since then, we’ve seen stock indices, other risk-based assets turn around and show more comfort with the reality that this is probably not the beginning of World War III. So, with this, I think you have to assume the traders will go right back to the overall trend to the upside as we’ve been very bullish over the last couple of months. If you remember, previously I suggested that we might have a consolidation between 100,000 and basically 110,000, and that’s exactly what’s playing out. I think we’re just working off some of this excess froth. I remain bullish.

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