"Already hit bottom"...Bitcoin Bullish Scenario Materializes

▲ Bitcoin (BTC) ©

Bitcoin is solidifying its rebound structure by raising support levels at every low. With market sentiment recovering and institutional funds flowing in, expectations for further gains are rising again.

According to investment media FXStreet on April 21 (local time), the total cryptocurrency market capitalization rose by 2.52% over 24 hours to reach $2.56 trillion. Basic Attention Token (BAT) +7.7%, Immutable (IMX) +7.6%, and Toncoin (TON) +5.9% led the gains, while Tron (TRX) −0.74% and Uniswap (UNI) −0.68% performed relatively poorly. The Fear & Greed Index, which indicates market sentiment, rose to 33, marking its highest level since January 19, moving from the fear zone closer to neutral.

Bitcoin (BTC) traded near $76,000, confirming its March high as a support level during the recent intraday correction. With a typical structure forming where resistance turns into support, the next target zone is suggested to be $86,000, where the 200-day moving average is located. The fact that the price is maintained above $69,400, the realized price for short-term holders, is also cited as a factor reducing the possibility of a sell-off by new investors.

Fund flows are also significantly improving. According to CoinShares, $1.401 billion flowed into cryptocurrency funds last week, marking the largest inflow since mid-January. Of this, $1.116 billion flowed into Bitcoin and $328 million into Ethereum (ETH), while $56 million flowed out of XRP (Ripple).

The trend of increasing institutional demand continues. According to a survey by Japanese financial group Nomura, 65% of Japanese institutional investors are utilizing Bitcoin for portfolio diversification and plan to allocate 2-5% of their assets to cryptocurrencies within the next three years. Strategy purchased 34,164 BTC for $2.54 billion at an average price of $74,395, increasing its holdings to 815,061 BTC.

Demand for Ethereum is also continuing. BitMine acquired an additional 101,627 ETH, securing a total of 4.97 million ETH, which accounts for 4.12% of the total supply. However, in the DeFi market, $13 billion has exited in two days following the Kelp Protocol hack, highlighting short-term risk factors simultaneously.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*