Crypto Industry News:
Cathie Wood, CEO of Ark Invest, has a long-standing advocate for digital asset and her fund ARKW has around $ 370 million in GrayScale Bitcoin Trust (GBTC).
With the price of bitcoin rising this year, the market capitalization of the cryptocurrency has also increased, exceeding the value of $ 1 trillion. While it was a huge milestone, many analysts and investors doubted the future appreciation of BTC, citing its limited growth potential. But Wood argued that a Bitcoin market cap of over $ 1 trillion was just the beginning. During the last CBOE panel she said:
"If we add all the potential demand to the limited supply, we will get incredible numbers in the long run. We just started. One trillion dollars is nothing compared to what level of capitalization will eventually be. "
Cathie Wood said one of the most surprising turning points for cryptocurrency was the massive surge in institutional demand. As the US economy struggles with inflationary pressures, analysts predict a depreciation of the dollar.
As a result, major asset management companies started amassing BTC and other cryptocurrencies, taking millions of coins out of circulation. According to Glassnode, the illiquid supply of Bitcoin continues to grow throughout 2021.
Hailed by some as "visionary", Cathie Wood seems to be ahead of most of her Wall Street colleagues when it comes to getting in tune with the reality of investing in digital assets.
Technical Market Outlook:
The BTC/USD pair has bounced from the level of $50,313, which is the 61% Fibonacci retracement of the last wave up and the technical support as well, broke through the trend line resistance and made a top at the level of $58,223. This is the key short-term technical resistance for bulls, because a breakout above will expose the level of $60,100 for a test. From there the road towards the ATH located at the level of $61,683 is very short. For now the market is consolidating the recent gains and the market participants await for the rally to continue.
Weekly Pivot Points:
WR3 - $66,270
WR2 - $62,632
WR1 - $58,882
Weekly Pivot - $54,425
WS1 - $50,791
WS2 - $46,464
WS3 - $42,622
Trading Recommendations:
The bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $41,125 is clearly broken on the e daily time frame chart.
