Bitcoin Tests $111,000 Despite Institutional Holdings Surging Past 1 Million BTC
Bitcoin is currently worth about $111,000, which is down more than 2% in the last 24 hours. This is because the crypto is going through a
Quick overview
- Bitcoin is currently valued at approximately $111,000, experiencing a decline of over 2% in the last 24 hours amid high volatility.
- The cryptocurrency is consolidating between its 50-day and 200-day moving averages, indicating market uncertainty as it tests critical support levels.
- Despite a poor October performance, institutional adoption is rising, with 72 public companies holding over 1 million BTC, reflecting a significant increase in corporate interest.
- Looking ahead, Bitcoin's price could rally to $125,000 if it breaks above $117,500, but risks a drop to $105,000 if the $110,000 support fails.
Bitcoin BTC/USD is currently worth about $111,000, which is down more than 2% in the last 24 hours. This is because the cryptocurrency is going through a time of high volatility and institutional accumulation. BTC has shown strength by staying above the psychologically important $110,000 barrier, even though things have been rough lately, including a quick flash fall to $103,000 last Friday.
BTC’s Technical Picture Shows Consolidation at Critical Juncture
Bitcoin is at a very pivotal point from a technological perspective. The top cryptocurrency is trading between its 50-day moving average of about $115,000 and its 200-day moving average of about $108,000. This is a range that usually shows the direction of the medium-term trend. This compression between important moving averages shows that the market is unsure about what to do next as traders wait for clearer signs.
The $117,500 level has been an important resistance level, operating as a supply zone that has turned down many breakout efforts this year. Every time someone tries to break through this ceiling and fails, it becomes more important as a crucial technical barrier. Bitcoin is presently testing the bottom end of its consolidation range at $111,000. The support zone between $110,000 and $111,000 is becoming more and more important for keeping the market structure favorable.
Price action is still stuck in a range and reacts to changes in risk sentiment. A strong close above $117,500 could mean that the market is getting bullish again and could lead to prices going up to $122,000-$125,000. But if this zone isn’t reclaimed, there could be risks of going down to $108,000 or possibly $105,000 in the near future.
Bitcoin’s October Performance Lags Historical Trends Despite Fed Optimism
Bitcoin is down 4.3% for October, which is worse than its average over the past few years. Since 2019, Bitcoin has gone up almost 20% on average in October, with a median return of about 15%. This year’s poor result is a big change from the month’s usual positive reputation, which is why it is called “Uptober.”
But there may still be macroeconomic tailwinds. The CME FedWatch tool says that there is a 96.7% chance that the Federal Reserve will decrease interest rates by 25 basis points. When this kind of monetary easing happens, it usually makes the economy more liquid, lowers the cost of borrowing, and boosts risk-on sentiment across all asset classes, including cryptocurrency. Fidelity’s Director of Global Macro Jurrien Timmer said that the latest drop is similar to the “super bull” era of the late 1990s, when there were steep but short-term drops followed by big rises.
72 Public Companies Hold Over 1M BTC
The exponential surge in business adoption may be the most convincing story that supports Bitcoin’s long-term direction. Bitwise’s most recent research says that 72 companies that are publicly known currently own more than 1 million BTC, which is worth over $117 billion. This is an amazing 28% gain in just three months, with 176,762 BTC bought in Q3 alone.
Strategy is still the biggest institutional holding, with 640,031 BTC. They added a huge 40,000 BTC in the third quarter, even though the market was unstable. Additionally, 48 new businesses joined the institutional Bitcoin holding cohort in Q3, substantially increasing digital asset use across the corporate sector.
Find There has also been a lot of interest for Bitcoin exchange-traded funds. In the first two weeks of October, they took in around $5 billion in net inflows. This institutional front-running shows that smart investors are being ready for any changes in monetary policy and Bitcoin’s long-term rise in value.
Bitcoin Price Prediction: Cautious Optimism for Year-End Rally
Based on the present technical setup and fundamental backdrop, it looks like Bitcoin will continue to stay in the $110,000-$117,500 region for the time being. The cryptocurrency needs to clearly get back above $117,500 to confirm that it will keep going up to $122,000-$125,000.
If U.S. stocks keep going up as earnings season approaches and the Federal Reserve cuts rates as expected, Bitcoin could have a good chance of ending October on a high note and aiming for $125,000 to $130,000 by the end of the year. But if the $110,000 support level doesn’t hold, the price might drop again to $105,000–$107,000, especially if short-term holders keep selling in a panic.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Save