Bitcoin (BTC/USD) Supported Over 46,550 – Bullish Engulfing Support

After reaching a high of $48,059.0, and a low of $45,689.0, the BTC/USD pair closed at $45,940.00. The BTC/USD fell for the third straight session after well-known investor and actor, Kevin O’Leary, known from his appearance on Shark Tank as Mr. Wonderful, explained why institutions have yet to participate in cryptos.

O’Leary discussed significant aspects of the cryptocurrency sector, such as portfolio diversification, institutional engagement, ESG issues, and his most recent investment, WonderFi. Despite the engagement of some large names, like Tesla and MicroStrategy, he claimed that institutions generally were not investing in Bitcoin. He stated that while these corporations have invested a small amount of their capital in cryptocurrency, most big institutions remain skeptical, as big investors seek compliance, because none of them are afraid of volatility and prefer to play instead.

He added that he recently became a shareholder and ambassador for FTX, a leading cryptocurrency exchange, because the CEO of the exchange had informed him that the exchange would provide the necessary compliance.

Four wealth management businesses have purchased shares in Grayscale’s Bitcoin Investment Trust, according to a new filing with the US Securities and Exchange Commission, that demonstrates institutional adoption of digital assets. Many companies are looking for new and different ways to get exposure to Bitcoin and other cryptocurrencies. This should have bolstered the BTC/USD prices, but it didn’t, and the leading digital asset is still under pressure.Wealthfront, a robo-advisor with around $25 billion in AUM, has also stated that its more than 450,000 clients will now have access to crypto exposure choices. The Grayscale Bitcoin Trust and the Grayscale Ethereum Trust have been added to the firm’s investment options. Investors can allocate up to 10% of their portfolio to cryptocurrencies; this allocation was implemented to help clients avoid unduly risky portfolios.

Meanwhile, research performed by Gemini crypto exchange, in collaboration with CoinMarketCap and Seedly, found that more than two-thirds of investors in Singapore currently possess cryptocurrencies, which could be a reason for the decline in the Bitcoin price. According to research, the second-largest cryptocurrency, Ether, is more prevalent in Singapore than Bitcoin, with four out of five crypto investors owning ETH, followed by BTC, ADA and Binance Coin. This revelation weighed on the top cryptocurrency, as Singaporean crypto investors preferred ETH over BTC, causing BTC/USD to fall.

The main crypto pair, BTC/USD, is showing signs of weakness, having breached the restricted trading range of 48,019 to 47,161. Bitcoin is receiving support at the 45,550 level on the 4-hour chart, and a bearish violation of this level might expose it to the 43,839 level. The BTC/USD has broken through the upward channel that offered support at 46,630 and it is now acting as resistance for Bitcoin.

Bitcoin is supported by a double bottom pattern on the 4-hour chart, at the 45,550 level. However, a break below this level could expose the pair to the next support level at 43,850. The pair is supported by the 50 day SMA (simple moving average) at the 45,800 level, and a bearish crossover below this level could open up a selling trend for the BTC. Good luck!