Bullish View
Bearish View
(Click on image to enlarge)Bitcoin price remained on edge, a few points below the year-to-date high of $99,800 and the crucial resistance point at $100,000. It was trading at 95,685 on Tuesday morning, still up by 95% from its lowest point in August.Bitcoin price moved sideways even as companies continued to accumulate coins for their balance sheets. MicroStrategy announced that it acquired coins worth $1.5 billion, bringing its total holdings to about 400k. The new purchase came a week after the company acquired coins worth $5 billion.Other companies are acquiring more Bitcoin holdings. Marathon Digital, the biggest miner by market cap announced that it was raising $700 million in debt to buy these coins. It now has over 34,794 coins in its balance sheet worth over $3.3 billion.Marathon hopes to replicate MicroStrategy’s success. While MSTR’s Bitcoin holdings are worth $38 billion, its market cap has jumped to over $77 billion.There are also signs that institutional investors are moving to Bitcoin ETFs. Data shows that the cumulative net inflows of all Bitcoin ETFs jumped to over $30.7 billion, with Blackrock holding almost $50 billion in assets.The next potential catalyst for the BTC/USD pair will be the next action by the Federal Reserve, which will meet next week. Before that, the US will publish the latest jobs numbers.
BTC/USD Technical AnalysisThe daily chart shows that has been in a consolidation phase in the past few days. It has remained above the 50-day and 25-day Exponential Moving Averages (EMA).The pair has formed a bullish pennant pattern, a popular bullish sign. This pattern is made up of a vertical line and a symmetrical triangle pattern.However, the two lines of the MACD indicator have formed a bearish crossover pattern. Also, the Relative Strength Index (RSI) has dropped below the overbought level.Still, because of the pennant pattern, there are rising odds that the BTC/USD pair will have a bullish breakout, with the next point to watch being at 100,000. The stop-loss of this trade is at 90,000.More By This Author:AUD/USD Forex Signal: Bearish Pennant, Death Cross Pattern FormsCheap DocuSign Stock Could Surge 125% To $175 EUR/USD Forex Signal: Extremely Bullish Above 1.0600
