Institutional Investors Flood Over $300 Million In Bitcoin Fund, BTC To Reverse Above $30k?
May 17 2022 - 10:54AM
NEWSBTC
Last week saw one of the largest losses of value in the history of
cryptocurrency. Bitcoin and the general crypto market crisis was
hit by the Terra ecosystem’s collapse. Bitcoin plummeted to under
$30,000. Obviously, institutional players took advantage of the
circumstance. Investors Flood Bitcoin Institutions reportedly
invested $300 Million into exchange-traded Bitcoin funds last week,
according to reports. According to CoinShares, the previous week
recorded record weekly crypto inflows for the year 2022. The net
weekly inflows were $274 million in the previous week. While North
American investors pumped $312 million into cryptocurrency last
week, European investors saw a $38 million net outflow. According
to the CoinShares report: Investors saw the recent UST stable coin
de-peg and its associated broad sell-off as a buying opportunity.
Bitcoin was the primary benefactor, with inflows totalling US$299m
last week, suggesting investors were flocking to the relative
safety of the largest digital asset. CoinShares’ head of research,
James Butterfill, expressed amazement at the unprecedented volume
of bullish investments in Bitcoin funds despite increased market
volatility. “It’s the highest weekly total since October 2021, and
the 19th highest since records began in 2015,” he said. Source:
Coinshares Bitcoin’s price peaked at $69,000 in November of last
year, and it has since been on a steady decline, losing more than
50% of its value. The Bitcoin price has dropped by more than 20%
since the beginning of May 2022. Related reading | Grayscale Met
With The SEC, Tried To Convince Them To Turn The GBTC Into An ETF
Would Price Surge? Bitcoin plummeted against the US dollar and hit
the $29,000 support level. BTC must settle above the $30,500
resistance to begin a solid rise. Bitcoin dipped below $30,000
after failing to gain traction above $31,000. The price is
currently trading above both the $30,000 and the 100 hourly simple
moving averages. A break over a connecting negative trend line with
resistance near $29,600 was seen on the hourly chart of the BTC/USD
pair. The pair could acquire bullish momentum if it closes above
the $30,500 resistance. Although the price dipped below $29,500,
bulls were active near $29,000. The price has recovered losses
after forming a low near $29,060. Above the $29,500 barrier, there
was a clear upward movement. The price surpassed the 23.6 percent
Fib retracement level of the latest drop from the swing high of
$31,390 to the low of $29,060. There is immediate resistance near
the $30,300 mark. It’s approaching the 50% Fib retracement level of
the latest drop from the swing high of $31,390 to the low of
$29,060. A solid close above $30,300 might pave the path for a
large gain. BTC/USD trades slightly above $30k. Source: TradingView
Around $31,400 is the next major resistance level. In the next
sessions, a clear break over the $30,300 and $31,400 resistance
levels could kick-start a new upswing. Near $32,500 could be the
next big resistance level, after which the price could rise to
$34,000. If bitcoin fails to break past the $31,400 barrier mark,
it could fall further. On the downside, $29,600 provides immediate
support. Around $29,000 is the first substantial support. If the
price breaks and closes below the $29,000 support level, it might
herald the start of a significant fall. Related reading | TA:
Bitcoin Holds Key Support, Why BTC Must Clear This Resistance
Featured image from iStockPhoto, Charts from TradingView.com
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