Bitcoin Weekly Price Forecast – Bitcoin Shows Signs of Life For The Week

Christopher Lewis
Published: Jan 26, 2024, 14:06 UTC

Bitcoin initially fell during the course of the trading week to break down below the $40,000 level, only to turn around and show signs of life again. By forming the hammer that we have, it looks like we are ready to recover.

Bitcoin on blue chart, FX Empire

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Bitcoin Forecast Video for 29-01-2024

Bitcoin Weekly Technical Analysis

The Bitcoin market has fallen significantly during the course of the week to break down below the $40,000 level. However, we have seen the market turn right back around and show signs of life again. In fact, this is a market that is trying to form a hammer for the week and that of course would be a technically strong signal. It’s also worth knowing that the 20-week EMA has offered a bit of support as well. So, all things being equal, this is a market that I do think goes higher. However, there will be occasional move that shakes some people out, so keep that in the back of your mind.

Now, the question of course is how much higher? And I think the answer is the $47,500 level. I anticipate that this market is probably going to be somewhat range-bound in the near future, which makes sense. We had a 80% rise almost in a straight line up recently, so the market will have to work off some of that froth. There is a Bitcoin ETF now, part of why the market rallied, but now you have to keep in mind that institutions can short the Bitcoin market much easier and that is going to have an effect on how it trades. As things stand right now, I believe we are in the midst of trying to carve out some type of trading range and we may have just seen the bottom challenged and showing itself holding the trend up.

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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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