MicroStrategy, the dominant holder of Bitcoin among US-listed companies, announced last night that after adding 27,200 Bitcoins last week, it has again purchased 51,780 Bitcoins at an average price of $88,627 with a total investment of $4.6 billion! As of November 7, 2024, MicroStrategy holds a total of 331,200 Bitcoins, with a total purchase cost of approximately $16.5 billion, resulting in an average holding price of $49,874 per Bitcoin.
In terms of cryptocurrency, Bitcoin experienced a volatile trend, with the total liquidation amount across the network reaching $336 million in the past 24 hours, with long positions liquidating $203 million and short positions liquidating $133 million, affecting over 110,000 people.
Bitcoin reached a low of $89,375 around 10 PM last night and then began to rebound, peaking at $92,644 just before midnight. However, selling pressure emerged, and Bitcoin continued to fluctuate between $90,000 and $92,000, undergoing constant liquidation. As of the time of writing, the price is $91,627, down approximately 0.12% in the past 24 hours.
Bitcoin daily chart
First, according to the Bollinger Bands indicator in the Bitcoin daily chart, the current price has broken through the upper band, indicating that the market is in an overbought state, and after a significant breakout above the upper band, there may be a risk of a pullback. The Bollinger Bands are opening, suggesting that market volatility will increase, and the trend may continue.
Secondly, according to the MACD indicator in the Bitcoin daily chart, the DIF line has crossed above the DEA line forming a golden cross and is above the zero line, indicating that the current market is still in a bullish trend, and the MACD histogram is growing, indicating strong bullish strength.
Finally, according to the KDJ indicator in the Bitcoin daily chart, the K-line and D-line values are at a high level, and the J-line value exceeds 100, indicating a serious overbought situation, and caution is needed for the risk of a short-term pullback.
Bitcoin four-hour chart
First, according to the Bollinger Bands indicator in the 4-hour Bitcoin chart, the current price is between the middle and upper bands, indicating that the bullish trend still exists, but the strength of the increase is weakening. The Bollinger Bands are slightly narrowing, which may reduce market volatility, and the price may enter a period of consolidation or fluctuation.
Secondly, according to the KDJ indicator in the 4-hour Bitcoin chart, the K-line and D-line values are hovering in the neutral zone of 50-70, indicating that the market has not yet entered an overbought or oversold state. The J-line value shows a slight downward trend, indicating that short-term market momentum has weakened, but the trend reversal signal is not yet clear.
Finally, according to the MACD indicator in the 4-hour Bitcoin chart, the DIF line is approaching the DEA line, accompanied by a green MACD histogram, but the histogram is relatively short, indicating that the current bearish strength is weak. If the DIF line crosses below the DEA line forming a dead cross, there will be downward pressure in the short term. However, the MACD is still operating above the zero line, indicating that the overall bullish trend has not been disrupted.
In summary, the market is in a clear upward trend, supported by Bollinger Bands, MACD, and KDJ. However, multiple indicators signal overbought conditions, and there may be pullback pressure in the short term.
In summary, the expert offers the following suggestions for reference
Suggestion one: Short Bitcoin if it rebounds to around $92,600, target $91,000, stop loss at $93,000.
Suggestion two: Buy Bitcoin if it pulls back to around $90,800–$91,000, target $92,600, stop loss at $90,450.
Writing time: (2024-11-19, 16:50)
(Written by the expert)
