Bitcoin Rebounds to $76,000 Amid Unease… "If Whales Stop Buying, It Will Plummet 30%"

Recently, major cryptocurrencies like the market leader Bitcoin (BTC) and XRP (Ripple) are attempting a rebound, driven by substantial institutional buying. However, the intertwined factors of a price drop in key stocks that served as funding sources for buying and geopolitical woes from the Middle East are raising the specter of a dizzying crash scenario, potentially breaking the $70,000 mark.

According to investment media FXStreet on April 21 (local time), Bitcoin rose 2.66% to $75,800 on Monday, following news that Strategy had accumulated $2.54 billion worth (34,164 units), its third-largest acquisition ever. However, STRC preferred shares, which funded 86% of this purchase, have fallen below their par value of $100 since April 15, intensifying concerns that additional coin purchases may be halted for the time being.

While STRC shares must remain above $100 for smooth fundraising, if they fall below par, the company's buying power will sharply diminish. The media warned that based on past cases, if Strategy's buying spree stops, the price has plummeted by an average of about 30%, and if this statistic is applied to current levels, it could fall to $53,000.

The deteriorating macroeconomic environment is also increasing downward pressure. Skepticism about a peace agreement between the US and Iran is spreading, leading to a uniform decline in major US stock indices and a deepening risk-off sentiment. In particular, with US President Donald Trump stating that an extension is highly unlikely if there is no agreement by the Wednesday ceasefire deadline, market anxiety due to escalating conflict in the Middle East has reached its peak.

The technical chart flow also shows a typical flag-shaped corrective pattern, pushing towards the lower boundary. If the support line breaks, there is a high risk of retreating to the $67,000 to $69,000 range in April. However, the 20-day and 50-day exponential moving averages are acting as dynamic support, so if this range holds, there remains room for bargain hunting.

If Bitcoin overcomes negative factors and breaks through the upper trendline of the flag pattern, the bearish scenario will be invalidated. Experts diagnose that breaking the resistance wall near $78,000 is the top priority for a bull market, and if breached, a dramatic recovery towards $82,750, where the 200-day exponential moving average is located, could unfold.

According to CoinMarketCap, Bitcoin is currently trading at $76,724 at the time of reporting.

*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.*