Affiliate Disclosure
Affiliate Disclosure adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

BTC/USD Forecast: Looks Ready to Fall Further

The market is a situation that looks like trouble just waiting to happen, especially as we have seen so much negativity in the stock market after the Jerome Powell speech.

  • The BTC/USD has fallen during the trading session on Friday as we continue to see negativity in the Bitcoin market.
  • Jerome Powell has given his speech at Jackson Hole, leaving no doubt as to how the Federal Reserve is going to behave.
  • As they continue to be hawkish, that will drive money away from riskier assets such as Bitcoin.

When I look at this chart, we had a massive selloff last week, and now we are getting ready to break down below the big candlestick from last week. If we break it down below the $20,000 level, it more likely than not will send Bitcoin much lower. If we break down below that level, then it’s likely that we go much lower. I do think that will end up being the trajectory going forward, as there are far too many things out there that could cause issues for Bitcoin not the least of which is that there is a lot of panic out there.

Selling Opportunities Ahead

Rallies at this point in time should be thought of as selling opportunities, especially the first signs of exhaustion. The 50 Day EMA sits below the $24,000 level and is starting to slope a little bit lower. That should be dynamic resistance, and I think a lot of people will continue to look at that as an area that is worth paying attention to. I think it is only a matter of time before the bearish traders come in and start taking advantage of rallies, but if we turn around and break above the $25,000 level that would change everything as far as momentum is concerned.

At the very least, I think we are going to see a lot of volatility, and of course choppiness. The only thing you can do is keep your position size reasonable because you need to understand that volatility could be quite wild at times. That being said, it certainly looks as if the sellers are starting to flexor muscles, and I do think that Bitcoin ends up falling again. There’s no real “risk appetite” out there, so I just don’t see how you have an argument for getting aggressive to the upside. The market is a situation that looks like trouble just waiting to happen, especially as we have seen so much negativity in the stock market after the Jerome Powell speech.


Ready to trade Bitcoin USD? Here are the best crypto brokers to choose from.

Christopher Lewis
About Christopher Lewis

Christopher Lewis has been trading Forex for several years. He writes about Forex for many online publications, including his own site, aptly named The Trader Guy.


Most Visited Forex Broker Reviews