- Bitcoin’s strong institutional interest is evident as MicroStrategy purchased 15,400 BTC for $1.5 billion, and Marathon Digital Holdings plans to raise $800 million for more BTC acquisitions.
- BTC price has remained resilient above $95,000, supported by institutional inflows and bullish momentum.
Bitcoin price correction persisted for a second consecutive day on Tuesday, December 3, briefly dipping below $93,600. However, the trend is finally over with a strong rebound. Moreover, market data indicates that various participants had been actively capitalizing on the pullback to accumulate more BTC. As of press time, the Bitcoin price is trading 2.15% up at $95,713 with a market cap of $1.89 trillion.
A Look At Bitcoin Price Consolidation
The last movements of Bitcoin after a 37% price leap in November point to consolidation. The asset is basically pausing to establish better support and resistance levels around the market range. Now that Bitcoin leaped by $26,000 in November, brushing up against the psychologically significant $100,000 level, analysts think this will give the crypto the time needed to strengthen its market structure.
During the U.S. trading session of December 3, Bitcoin’s price went on a high-volatility ride. South Korea’s President, Yoon Suk Yeol, declared martial law, leaving everything uncertain before he took back the order. Because of low liquidity, BTC traded on the Korean exchange Upbit for under $65,000.
The price on U.S. crypto exchanges, however, still hovered at $95,000. Although this was a temporary setback, the market is still experiencing some developments that could positively impact Bitcoin’s price trajectory. Some market analysts, reported CNF, believe BTC will enter a supercycle in the next 200 days.
Strong BTC Demand Among Big Market Players
Nonetheless, owing to strong institutional demand and governmental adoption, Bitcoin price stands strong, per the CNF report. Earlier on Monday, Michael Saylor’s MicroStrategy announced it had bought 15,400 BTC for $1.5 billion, paying an average price of $95,976 per Bitcoin. In addition, Marathon Digital Holdings (MARA), a publicly traded Bitcoin mining firm, said it intends to raise $800 million through a private offering of convertible notes to fund additional BTC purchases.
Furthermore, on December 10, a high-profile vote by Microsoft’s shareholders to add Bitcoin to the company’s balance sheet will likely have a dramatic effect on the price of BTC. Also, Several unsubstantiated rumors regarding BTC are spreading. First, the announcement of a Bitcoin strategic reserve from the United States, and second, similar development in a Middle East nation.
Institutional demand for Bitcoin remains strong, with consistent inflows into spot BTC ETFs. According to SoSoValue, spot ETFs have attracted $3.38 billion between November 21 and November 25. While there was a $138 million outflow last week, December started with three days of inflows over $100 million.
These positive developments have helped BTC’s price hold above the $95,000 mark. As of writing, the Bitcoin price gained 2.15% to $95,776.21 on Wednesday, December 4. Whilst, the 24-hour trading volume for BTC jumped by 8.53% to $68.11 billion.
Meanwhile, derivatives data also suggests a resurgence of bullish momentum. According to Coinglass data, BTC’s open interest increased 1.79% to $58.69 billion. Additionally, amid the rebound, Bitcoin short liquidations surged to a whopping $41.32 million, indicating a significant buy pressure as traders buyback their positions to escape losses.
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