Bitcoin Price Outlook – Bitcoin Continues to See Buyers on Dips

Bitcoin Technical Analysis

The Bitcoin market initially did pull back a bit during the trading session here on Thursday, but has since seen quite a bit of buying pressure and now looks likely to try to reach the $120,000 level again. This pullback, which ended up being back to the 50-day EMA, is what I would classify as a typical pullback. There really wasn’t anything particularly special about it, but it is also one of these situations where traders probably are looking for a little bit of momentum. It’s a little difficult right now due to the fact that we’re in the month of August, which is typically very quiet. And as a result, the markets tend to go somewhat sideways. We are seeing that in plenty of other assets.

So, I don’t really think Bitcoin should be any different. This is especially true considering that Bitcoin is now essentially an ETF on Wall Street, and with that being the case, I think you have to look at it through the prism of risk on or risk off, and right now, it’s just somewhat bland. So continuation of the consolidation makes quite a bit of sense.

If we can get a daily close above the $120,000 level then it’s possible that Bitcoin continues higher, but I also recognize that we’ve got some work to do and therefore I’m not overly aggressive about this. I think dips probably offer opportunities to accumulate, with the $110,000 level underneath being a significant floor.

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