As the week comes to a close, Bitcoin (BTC), the titan of cryptocurrencies, has rallied, recouping from a weekly trough of $64,000 to resume support above $65,000. This recovery, effectively halting the past week’s negative trajectory, seems to have been triggered by another massive round of investment from MicroStrategy, a renowned business intelligence firm, stewarded by Bitcoin stalwart, Michael Saylor.
The business titan revealed on Thursday its acquisition of an additional 11,931 BTC, worth an estimated $786.0 million. This combustive move puts an exclamation point on MicroStrategy’s expanding domination as a prime institutional holder of this ground-breaking asset.
MicroStrategy’s founder and CEO, Michael Saylor, stepped into the social media spotlight to unveil this latest acquisition. Between April 27 and June 19, the firm scooped up 11,931 Bitcoin, employing the proceeds from convertible notes and excess cash at a median purchasing price of $65,883 per Bitcoin.
This set of purchases has boosted MicroStrategy’s complete Bitcoin reserve to an awe-inspiring 226,331 BTC, procured at an aggregate cost of $8.3 billion. Currently, this digital haul has a valuation pegged at a striking $14.9 billion.
Going back to 2020, Saylor’s initial interest in Bitcoin became evident, as he began buying the cryptocurrency as an inflation hedge and an alternative to holding cash. Since that time, Bitcoin has astoundingly vaulted, appreciating about 600% since Saylor’s first investments.
Meanwhile, the community’s mood surrounding Bitcoin has been conflicting, according to market intelligence platform Santiment. Indifference and fear seem to rule sentiment, as Bitcoin’s price wavers between $64,000 and $65,000. Nonetheless, Santiment posits that the weariness of BTC traders, coupled with high volume accumulation—indicated by MicroStrategy’s latest procurement—often result in price rebounds rewarding those with patience.
Despite the presently conflicting market sentiment, many experts and analysts predict a future peak for Bitcoin that shoots beyond the extant all-time highs.
Market expert Crypto Con recently used Fibonacci retracements to demonstrate feasible cycle peak targets, both conservative and ambitious. Crypto Con’s legwork shows that the .618 Fibonacci retracement level has held firm for previous Bitcoin cycle peaks, and using extensions derived from retracing from the cycle bottom to the first move’s tip can give a plausible forecast. From this, the 2021 peak was forecasted at the 5.618 level.
Take into account the analysis from Crypto Con for a broader picture of the current cycle, the conservative prediction maps a cycle peak at $106,000, whereas the more aspirational prediction charts a peak of $161,000.
Echoing this optimism, wealth management firm Bernstein made audacious predictions about Bitcoin’s future. Regardless of contrarian views that surmise the Bitcoin ETF trade has run its course, Bernstein maintains an opposing perspective.
The firm asserts that Bitcoin ETFs are likely to get the thumbs up from major wirehouses and big private bank platforms in the coming months. Such potential consent and institutional curiosity provide a proverbial springboard for adoption.
Bernstein anticipates that the Bitcoin cycle will hit a staggering $200,000 by 2025, spatula-flip to $500,000 by 2029, and reach an astounding $1million by 2033. Such projections suggest that institutional investors are contemplating “net long” positions, a sign of increasing faith in the digital currency.
As it stands, BTC has trimmed its seven-day losses to 3.6%, producing a current trading price of approximately $65,170 for this goliath cryptocurrency on the market.
