Bitcoin Price Taps New Lifeline To $38K – Will MicroStrategy’s $347M BTC Purchase Trigger A July Rally?

John Isige
June 29, 2023
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CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Bitcoin Price Taps New Lifeline To $38K – Will MicroStrategy’s $373M BTC Purchase Trigger A July Rally?

Bitcoin price continues to show exemplary stability above $30,000. The pioneer cryptocurrency hit a 12-month high late last week at $31,468 but stalled to allow for consolidation.

Many market watchers expected BTC to retrace and retest support at $28,000, but the enhanced market structure bolstered by a sudden rise in interest from institutional investors has ensured Bitcoin price upholds its position above $30,000.

The largest cryptocurrency is trading at $30,230 on Thursday, with $10.5 billion in trading volume recorded in 24 hours. Despite the stability exhibited, BTC is down 0.7%.

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MicroStrategy Buys 12,333 BTC

The crypto market has been extremely eventful this June, starting with an intensified crackdown by the US Securities and Exchange Commission (SEC).

Leading crypto exchanges Coinbase and Binance were sued by the regulator, with 64 cryptocurrencies, including Cardano (ADA), Polygon (MATIC), and Solana (SOL), implicated as security tokens.

However, the face of the crypto industry started to change with Blackrock’s debut in the market, intending to operate a spot Bitcoin ETF. And since then, more institutional investors have either been expressing interest in the space as stakeholders or holders of the largest crypto BTC.

Although MicroStrategy is a veteran investor in Bitcoin, its most recent purchase of 12,333 BTC worth around $347 million is a sign that its time for Wall Street to enter the market.

Institutional investors shunned the crypto market for the last one and a half years amid regulatory uncertainty and other internal forces like the implosion of Terra (LUNA) in May and FTX in November 2022.

MicroStrategy’s latest purchase brings the total amount of BTC on its balance sheet to 152,333 – worth around $4.5 billion.

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Will Bitcoin Price Rally On Institutional Investors Surge?

Aside from MicroStrategy and Blackrock, companies like Fidelity Investments and Ledger have started running crypto-based platforms.

Fidelity backs EDX Markets, a crypto exchange designed for brokers and individual investors. Ledger, on the other hand, has just announced the launch of Ledger Enterprise TRADELINK, a crypto service dedicated to catering to the needs of institutional investors.

Meanwhile, Bitcoin price holds firmly above $30,000. This support is crucial for the resumption of the uptrend targeting $38,000. The Money Flow Index (MFI) reinforces the stability in the market, holding within the overbought region.

This implies that the money streaming into BTC markets is significantly higher than the outflow volume. If these conditions stay the same or improve, bulls will have an easier time pushing for a breakout to $38,000.

Bitcoin Price Taps New Lifeline To $38K – Will MicroStrategy’s $373M BTC Purchase Trigger A July Rally?
BTC/USD daily chart | Tradingview

Traders must tread cautiously, aware of the selling pressure emanating from the recent rejection from the 12-month high level. If overhead pressure continues to build, they can anticipate a sell signal from the Moving Average Convergence Divergence (MACD) indicator.

In that case, it is essential to wait until Bitcoin price confirms a rebound from $30,000 and possibly breaks and holds above $30,000 to be certain of a new uptrend. However, it is premature to rule out another rollback to $28,000.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
John is a seasoned crypto expert, renowned for his in-depth analysis and accurate price predictions in the digital asset market. As the Price Prediction Editor for Market Content at CoinGape Media, he is dedicated to delivering valuable insights on price trends and market forecasts. With his extensive experience in the crypto sphere, John has honed his skills in understanding on-chain data analytics, Non-Fungible Tokens (NFTs), Decentralized Finance (DeFi), Centralized Finance (CeFi), and the dynamic metaverse landscape. Through his steadfast reporting, John keeps his audience informed and equipped to navigate the ever-changing crypto market.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.