- I anticipate that probably ends up being the case for the short term; after all, we are getting close to the end of the year, and there are still a lot of questions about where we go next.
- Bitcoin initially tried to rally during the trading session on Friday, but as we have seen far too many times recently, the buyers just could not keep the market supported.
- All things being equal, this is a market that I think continues to see a lot of choppy behavior.
- A lack of volume is also going to be a bit of a problem in this environment, as we are between Christmas and New Year's Day, but we have also seen the market just absolutely crater over the last several months, and it seems like the sentiment for Bitcoin has been horrible.
Institutional Traders and Support Levels
If that continues to be the case, one would have to wonder when the average trader comes back in, but I would suggest this: I suggest that perhaps part of the recovery will be if and when institutional traders come back, and if that is going to be the case, you are probably looking sometime in January. In the meantime, a lot of traders will be going back and forth, maybe accumulating for the next big push higher. We will just have to wait and see.
Top Regulated Brokers
I also recognize that this is a market that, if we were to break down below the $80,000 level, we could see Bitcoin fall apart. I don't think that is an immediate threat, but I think that if it were to happen, you would probably see a bit of a snowball effect, where traders will continue to short.
In that environment, we could very well see Bitcoin drop all the way down to the $65,000 level, just as a break above the $94,000 level could open up the possibility of an attempt to get to the $100,000 level. In the short term, though, I think it is more back-and-forth grinding than anything.