Tuesday, March 9, 2021

Bitcoin Begins Uptrend As Large Holders Continue to Accumulate

At 14:25 GMT on Tuesday, Bitcoin was trading at $54,152, a gain of 6.16% since the last 24 hours. This is an encouraging uptrend indicating that Bitcoin may now focus on $50,000 as the key support level.

According to data from Tradingview, the coin struggled to break out and was still consolidating as of writing. A retracement to around $53,000 may occur by the close of the day due to the current heavy volatility.

tradingview data on bitcoin on 4-hout hours

The weekend upside hinted at Bitcoin’s move towards a bull run. However, it’s still yet to secure $50,000 as a strong support level following last week’s downside.

Contributor to German news daily Die Welt, Holger Zschaepitz, summarized to Twitter followers:

Bitcoin jumps >$54k aided by more signs of institutional interest in the largest cryptocurrency. Institutional interest sets the latest bull run apart from 2017’s retail-driven surge, Goldman says. Much of the institutional demand has been driven by fears around asset devaluation.

The reference to Goldman Sachs was about a report by the firm revealing that over 40% of its clients already have exposure to cryptocurrencies.

New investors and old investors are buying more

On Monday, Norway’s richest people entered the Bitcoin market by launching a Bitcoin-focused firm using the king cryptocurrency as its sole treasury asset.

Kjell Inge Røkke wrote in a widely-circulated shareholder letter:

Bit­coin can be ver­i­fied, di­vid­ed, re-as­sem­bled, stored, and trans­port­ed at vir­tu­al­ly no cost. It’s the per­fect scarce digi­tal as­set. By de­sign, all that’s re­quired to keep the net­work run­ning, is al­lo­cat­ing the cheap­est elec­tric­i­ty in the world. Elec­tric­i­ty se­cures the net­work. No trust­ed par­ties or peo­ple with guns are need­ed. I call that progress.

Days ago, MicroStrategy, the business intelligence firm also purchased 205 Bitcoin worth $10 million. The enterprise software company mentioned that as of March 5, it was holding about 91,064 Bitcoin which were acquired with a total spend amounting to $2.2 billion. The average price for each coin was about $24,119 per BTC.

According to Material Indicators, the buy orders of $100,000 or more on Binance, the world’s largest cryptocurrency exchange, are reaching all-time highs.

https://twitter.com/Mtrl_Scientist/status/1369201848285036548? s=20

Another batch of nearly 12,000 BTC left professional trading platform Coinbase Pro just after the price surge to 54,000.

Big buyers and institutions are scooping up liquidity on exchanges.

The increasing institutional investors adopting Bitcoin could serve as fuel for Bitcoin to become a standard to invest in like other forms of traditional investment.

If you have any questions and comments on Bitcoin today, use the form below to reply.

© IbrahimAnifowoshe for Commodity News, 2021. | Permalink | No comment |
Published under: Bitcoin, Forecasts

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