Bitcoin's price tumbled to $94,500 following a decisive rejection by Microsoft shareholders of a proposal to allocate 1% of the company's assets to Bitcoin as an inflation hedge. Despite this, analysts remain optimistic about BTC's potential for further price appreciation.
Recent data from Coinglass reveals that over $478 million worth of contracts, predominantly long positions, were liquidated in the wake of significant drops in BTC and other cryptocurrencies. Interestingly, altcoins experienced higher liquidation volumes compared to Bitcoin.
This price decline is viewed by some as a favorable entry point. Veteran crypto analyst Ali Martinez has highlighted a forming long cup and handle pattern on Bitcoin’s weekly chart. This pattern, often seen as bullish, resembles a rounded "cup" followed by a "handle," suggesting a potential uptrend continuation and possible price gains. Martinez indicated this pattern could propel Bitcoin to around $275,000, though he advises traders to remain cautious and avoid excessive leverage.
Conversely, prominent analyst @Trader_XO stressed Bitcoin's need to maintain support at $90,000 to prevent further losses. Falling below this threshold could see BTC dip to $85,000. Conversely, maintaining above $90,000 could enable a price recovery and continuation of the uptrend.
Bitcoin rebounded swiftly from its recent dip and was trading near $100,000 at the time of writing. The leading cryptocurrency has maintained an upward trend, buoyed by US inflation data that met market expectations.
Marking a new all-time high (ATH) of $103,679, Bitcoin's price has fluctuated around the pivotal $100,000 mark, leading to over $1.5 billion in liquidations over the past week. Various factors may push Bitcoin to another ATH, such as declining BTC reserves on exchanges, which indicate growing demand.
Prominent financier Anthony Scaramucci foresees China potentially establishing its own Bitcoin reserve, should the US advance with its strategic Bitcoin reserve plans. National reserves are likely to bolster Bitcoin's supply scarcity narrative, potentially driving prices upward. Meanwhile, corporate adoption of BTC is on the rise, with Canadian video-sharing platform Rumble announcing a BTC treasury strategy. Bitcoin currently trades at $100,453, up 4.1% over the past 24 hours.