The cryptocurrency market is having an excellent start to the week as Bitcoin and other major coins are in the green.
Bitcoin is trading above $71,000 after adding 4% to its value as the war volatility cools down.
Furthermore, Strategy (formerly MicroStrategy) has continued its Bitcoin acquisition, splashing over $1 billion on Bitcoin last week.
Strategy purchases more Bitcoins, war volatility fades
Bitcoin is up 4.5% in the last 24 hours and now trades at $71,010 per coin.
The positive performance comes as crude retreated and institutional flows helped stabilise the market.
Crude oil price hit the $115 mark on Monday but sharply dropped to the $90 mark a few hours later.
The dump helped eliminate fear regarding rising energy costs, allowing Bitcoin and equities to rally higher.
Analysts at Glassnode pointed out that on-chain and derivatives indicators suggest the market is stabilising after the recent volatility, though conviction has yet to fully return.
In a recent note, the analysts pointed out that,
“Overall, conditions are stabilising, with momentum, ETF demand, and profitability metrics improving modestly. However, capital flows remain soft, speculative participation is limited, and broader conviction has yet to fully return.”
Furthermore, US spot Bitcoin ETFs drew about $568 million in net inflows last week, following $787 million the week prior.
This was followed by a $167 million inflow on Monday, indicating continuous institutional demand for Bitcoin ETFs.
Traders are now optimistic that Bitcoin’s price could reclaim the $75,000 milestone this month.
Michael Saylor’s Strategy continues its Bitcoin acquisition model despite the current market conditions.
The firm revealed on Monday that it purchased 17,994 Bitcoin (BTC) for roughly $1.28 billion last week.
The company made the purchase at an average price of about $70,946 per Bitcoin, bringing its total holdings to 738,731 BTC.
Strategy’s cumulative acquisition cost for its Bitcoin treasury now stands at roughly $56.04 billion, representing an average purchase price of $75,862 per coin.
The company said it funded the acquisition using proceeds from its at-the-market (ATM) equity offering program.
Between March 2 and March 8, Strategy raised approximately $1.28 billion through the sale of its STRC preferred stock and its MSTR class A common stock.
Bitcoin bulls look to take out the $74K resistance level
The BTC/USD chart is looking bullish on the lower timeframe thanks to the ongoing rally.
The leading cryptocurrency is trading above $71,000 and could rally higher in the near term.
The bulls defended the $65,700 support level on Monday, allowing the coin to add nearly 5% to its value and hit the $71,000 mark.
If the recovery continues, BTC could rally past the $74,116 resistance level over the next few hours or days.
If the daily candle closes above this resistance level, BTC could surge towards the $79,297 high for the first time since February 2nd.
The MACD lines are within the positive region, indicating a growing bullish bias.
The RSI of 64 also shows that the buyers are currently in control.
However, if the recovery fails and Bitcoin fails to close its daily candle above $74,000, the bears could retest the $65,000 support level once again.