Bitcoin Technical Analysis
Bitcoin finds itself bouncing around between the 200-day EMA and the 50-day EMA indicators. This, of course, typically leads to some type of volatility, so I am very interested in watching Bitcoin at the moment due to the fact that we could have a fairly big move just waiting to happen. Just above the 50 day EMA, we have the $90,000 level, which of course is a large round psychologically significant figure and if we can break above there, then it opens up a move towards the $100,000 level. On a breakdown from here, we could see the 200 day EMA offers support, but if we break down below there, the $82,500 level could be your next target.
I do expect a lot of volatility, and you have to keep in mind that Bitcoin desperately needs some type of risk on behavior as traders will continue to treat it very much like a risky asset. Furthermore, you have to keep in mind that it is basically an ETF at this point, and Wall Street most certainly has a major influence on how this plays out.
