FX.co ★ Technical Analysis of BTC/USD for April 7, 2022

Crypto Industry News:

$231,400,000 was transferred from a portfolio owned by the Luna Foundation Guard. These funds were used to purchase 5,040 BTC.

Terra (LUNA) founder Do Kwon recently announced that he is planning massive BTC purchases to be used to increase the stability of the popular TerraUSD decentralized stablecoin (UST). Prior to the latest purchase, the Luna Foundation Guard wallet contained less than 31,000 BTC and was ranked 29th on the list of the largest addresses.

Thus, Luna not only continues its recent activities, but also increases the number of Bitcoin purchases. It is worth noting that there is already more BTC on the wallet than is held by Galaxy Digital Holdings (16,402 BTC), which is the third largest publicly traded company that officially buys Bitcoin. In addition, Do Kwon announces that purchases will continue until it is possible to acquire BTC worth around $ 10 billion. This means that the foundation's address will most likely overtake Tesla in some time (48,000 BTC).

For now, however, no wallet can threaten MicroStrategy's Michael Saylor companies.

Technical Market Outlook:

After a short period of consolidation the Bitcoin bears pushed the price towards the technical support at $43,371. The price is definitely out of the ascending channel for good, moreover, the technical overbalance of price and time was made during the wave down: the last decline towards the low located at $42,756 is a new corrective cycle and is not a part of the up trend anymore. The next technical support for bulls is seen at $42,607 and $40,477. The nearest technical resistance is located at $44,758.

Weekly Pivot Points:

WR3 - $52,161

WR2 - $50,140

WR1 - $48,553

Weekly Pivot - $46,309

WS1 - $44,444

WS2 - $43,324

WS3 - $40,487

Trading Outlook:

The market still keeps trying to bounce after over the 60% retracement made since the ATH at the level of $68,998 was made. The bulls are now approaching the game changing technical supply zone seen between the levels of $52,033 - $52,899. When this zone is clearly broken, the BTC is back to the up trend, otherwise the bearish pressure might push down the BTC towards the level of $29,254.