FX.co ★ Technical Analysis of BTC/USD for June 16, 2022

Crypto Industry News:

According to the company's recent official statements to the Securities Commission (SEC), MicroStrategy owns 130,000 BTC, or less than $ 4 billion. Bitcoin's drastic decline to $ 21,000 has led the company to lose over $ 100 million. As if that were not enough, MicroStrategy's NASDAQ stock saw a sharp cut of more than 25%.

The company at the helm of Michael Saylor has been accumulating Bitcoin since August 2020. As of March 31, 2022, the average price at which MicroStrategy was buying its BTC was $ 30,700. Bitcoin's brutal drops to $ 21,000 have put the company in real trouble. Investors are getting rid of MS shares for fear of the continuation of Armageddon and the complete loss of capital.

Despite the extremely negative sentiment and the ubiquitous panic fear, the CEO of MicroStrategy calls for common sense and as always ensures that there is no need to worry and the company does not intend to sell its Bitcoins.

The Twitter profile of CryptoWhale, which tracks the transfers of massive amounts of capital, noted that MicroStrategy transferred 2,089 Bitcoins (approx. $48 million) to a new wallet for the first time in history.

Technical Market Outlook:

The BTC/USD pair has made a new swing low at the level of $20,759 as it is approaching the round and psychological level of $20k. The key long-term technical support from May 12, 2022 located at $25,371 had been violated as the down trend continues. Recently, the bulls had manage to break above the short-term trend line resistance, however, the market is under the bearish pressure and the next target for bears is seen at the level of $20,000 or below. The nearest technical resistance is located at $23,000, but in order to change the sentiment to more bullish, the market must break through the level of $27,921 again.

Weekly Pivot Points:

WR3 - $34,537

WR2 - $33,170

WR1 - $29,508

Weekly Pivot - $28,238

WS1 - $24,813

WS2 - $23,432

WS3 - $20,071

Trading Outlook:

The down trend on the H4, Daily and Weekly time frames continues. So far every bounce and attempt to rally is being used to sell Bitcoin for a better price by the market participants, so the bearish pressure is still high. The key long term technical support is seen at the round psychological level of $20,000.