Bitcoin Sticks to Bull Trend on Banks’ Woes

On Tuesday, Bitcoin bounced back to $28.6K, recouping more than half of the loss from the day before. Due to the regional banks' resurgent problems, gold and cryptocurrencies saw a surge in demand. PacWest Bancorp, Western Alliance, and Metropolitan were involved this time. We also see that the price stabilized prior to the release of this news, indicating that the selling zeal has waned.

Bitcoin has gradually climbed back over its 50-day moving average, demonstrating the falsity of the break below. Later in the day, volatility is expected to rise in anticipation of the Fed rate announcement. A break below $28.2K (the 50-day moving average) or a consolidation above $29.3K (the commencement of the sell-off) might indicate that the market has chosen a course for the next days or weeks.

Bitcoin News

Investments in cryptocurrency funds decreased by $72 million last week, according to CoinShares, continuing withdrawals from the previous week. Investments in Bitcoin and Ethereum fell by $46 million and $19 million, respectively (the highest outflow since September 2022).

Due to a spike in activity around the Ordinals project, which enabled the production of NFTs on the  BTC blockchain, the number of Bitcoin transactions hit an all-time high that was set in December 2017.

The sell orders of "new investors" at $30K were the primary cause of the stoppage of the Bitcoin surge, according to Glassnode. The volatility was only increased by unsubstantiated rumors of sales by Mt. Gox clients, the US authorities, and the resurgence of "old" BTC.

For the first quarter, MicroStrategy reported a net profit of $461.2 million. From 7,500 BTC to 140,000 BTC, the corporation boosted its holdings in digital gold. "The conviction in our bitcoin strategy remains strong," the press statement said.