BTC/USD Is Stuck Below $48k as Bitcoin Risks Further Selling
BTC/USD Fluctuates Above $46 Support as Bitcoin Risks Further Selling- December 31, 2021
In the last 24 hours, buyers have pushed the crypto to the high of $48,650 as Bitcoin risks further selling. The crypto dropped sharply to the low of $45,695 as bulls bought the dips. Bitcoin’s upward move has been restricted below the $50,000 resistance zone. Buyers and sellers are struggling for price possession in a tight range. BTC/USD is trading at $47,271 at press time.
Resistance Levels: $70,000, $75,000, $80,000 Support Levels: $50,000, $45,000, $40,000
Since December 29, BTC price has been confined in a narrow range between $46,000 and $48,000. For the past four days, the bulls have been struggling to sustain the BTC price above the $48,000 price level. In other words, the bulls are finding it difficult to break above the 21-day line moving average. A break above the 21-day line moving average will accelerate the upward movement of the cryptocurrency. Bitcoin’s upward move is likely to face resistance at $50,000 and $52,000 price levels. Alternatively, a strong rebound above the current support will catapult Bitcoin to rally above the resistance levels. On the upside, if the bullish scenario is invalidated, Bitcoin will risk a further downward move.
Microstrategy Now Holds Almost $6 Billion in Cryptos
Business intelligence firm MicroStrategy has made an additional purchase of 1,914 bitcoins for $94.2 million in cash at an average price of $49,229 per bitcoin. According to a Thursday filing with the U.S. Securities and Exchange Commission, the additional purchase was between Dec. 9 and Dec. 29 for $94.2 million. This has made the firm’s total holdings reach 124,391 BTC. With the recent purchase, the company’s holdings are valued at roughly $5.9 billion. This figure represents more than $2.1 billion in gains. In retrospect, MicroStrategy made its initial $250-million Bitcoin investment in August 2020. The firm has gone on to purchase more than $3.7 billion in BTC in separate purchases using the company’s cash on hand.
On the 4-hour chart, Bitcoin is consolidating above the $46,000 support as Bitcoin risks further selling. Buyers are finding it difficult to resume upward moves as BTC’s price is stuck below the $48,000 high. There is the likelihood of a price rebound or breakdown.
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