Hello traders! In this analysis, I want to point on that Bitcoin has recently recorded a new high of ~$24,300 which was quickly and harshly followed by a steep drop to established support around $23,100. After failing to close above $24,000 on the 1H time frame, BTC began to fall and went right through any support around $23,000.
Suddenly, there was immense selling pressure. The next support at $22,300 - $22,400 was tested and immediately failed.
That's where things get interesting... BTC was in a free fall with ~20,800 looking like the next solid support. That's where MicroStrategy comes in. One hour after BTC reversed its free fall, CEO of MicroStrategy ($MSTR) Micheal Saylor tweets that the company had completed a $650M purchase of Bitcoin. Per Mr. Saylor's tweet, the 29,646 BTC was purchased at an average price of $21,925... only $12 higher than today's low...
9:45 UTC - Bitcoin begins to lose the $23,500 support and continues down through local supports.
12:12 UTC - Bitcoin bounces and reverses course.
13:04 UTC - Saylor announces MicroStrategy's BTC purchase.
Was MicroStrategy's historical purchase solely responsible for stopping Bitcoin's downward spiral today? With more and more institutions, tech companies, and investment firms piling into Bitcoin, are we building stronger and stronger supports at their entry levels? Can Bitcoin avoid further correction, or will we see a lower low soon? You decide!
As always, trade with caution, use a stop-loss, and DYOR! Thanks for checking out my idea, and give it a thumbs up if you found it to be interesting!
Suddenly, there was immense selling pressure. The next support at $22,300 - $22,400 was tested and immediately failed.
That's where things get interesting... BTC was in a free fall with ~20,800 looking like the next solid support. That's where MicroStrategy comes in. One hour after BTC reversed its free fall, CEO of MicroStrategy ($MSTR) Micheal Saylor tweets that the company had completed a $650M purchase of Bitcoin. Per Mr. Saylor's tweet, the 29,646 BTC was purchased at an average price of $21,925... only $12 higher than today's low...
9:45 UTC - Bitcoin begins to lose the $23,500 support and continues down through local supports.
12:12 UTC - Bitcoin bounces and reverses course.
13:04 UTC - Saylor announces MicroStrategy's BTC purchase.
Was MicroStrategy's historical purchase solely responsible for stopping Bitcoin's downward spiral today? With more and more institutions, tech companies, and investment firms piling into Bitcoin, are we building stronger and stronger supports at their entry levels? Can Bitcoin avoid further correction, or will we see a lower low soon? You decide!
As always, trade with caution, use a stop-loss, and DYOR! Thanks for checking out my idea, and give it a thumbs up if you found it to be interesting!