Bitcoin price rises sharply as US Congress passes $900 stimulus bill

On Tuesday, Dec. 22, Bitcoin (BTC) curves presented a bullish move after the price went above $23,500. Information published by TradingView, Coin360, and Cointelegraph Markets over the weekend showed BTC revealing bearish tendencies but as of Dec. 22, it had topped $23,625. Bitcoin gained more than 5% since it added $1,200 in six hours from lows of $21,800 on Monday. Bitcoin’s rise picked up momentum after the United States Congress passed a $908 billion Covid-19 stimulus bill. These are some of the factors in Bitcoin’s macro-environment that support its appeal.

BTC price rises amidst increased selling pressure

These new highs give traders a pessimistic approach to BTC as the selling pressure stands at $24,000. The resistance point is fixed at $25,000, slowing the token’s pace towards higher figures. Michaël van de Poppe, an analyst from Cointelegraph Markets, foresees a fall below $20,000, based on the prevailing conditions. His position is that most traders are on the lookout for a dip to $19,500, but he proposes a dip to $18,500 or thereabout. This fall is a necessary evil to liquidate those that took longs during the token’s rise.

MicroStrategy made huge BTC buy-ins last week. Michael Saylor, the company’s CEO maintains that the firm’s move is not responsible for the intense upside Bitcoin experienced last week. Saylor’s comments while talking on Funky Crypto Podcast centered around the purchases occurring in high-frequency batches. Clustered purchases of $1000-$2000 cannot have such a huge impact on the market, as opposed to a lump sum purchase. The CEO insists that his purchases never resulted in the trading graph’s green candle, it must have emanated from ‘other guys.’

Institutional buyers continue to go public on BTC purchases

Glassnode – an on-chain monitoring platform – claims through its chief technical officer, Rafael Schultze-Kraft, that these ‘other guys’ are yet to be publicly known. The CTO communicated through a series of tweets that even if MicroStrategy, and Grayscale were last week’s big buyers, others must have joined the bandwagon to cause such a surge in the market. He insists that the ones who are already publicly known cannot be alone in this move. Schultze-Kraft maintains that many more are on the move and the market should expect them. These individuals or organizations are coming, at first gradually, then they will make a sudden move.

Image courtesy of pixabay

Edwin Kinoti

Edwin Kinoti

Edwin is a naturally curious person with a deep interest in blockchain, finance and new tech, fields which he dedicates his time to researching and documenting.

Leave a Reply

Your email address will not be published. Required fields are marked *

ARE YOU IN?

Thousands of subscribers already enjoy our roundups – Join us it’s free.

Subscribe

Don’t worry we hate spam too – it’s safe and you can unsubscribe anytime.