Earlier today, Bitcoin (BTC) finally moved past its crucial resistance of $40,000 levels and is currently trading 2.39% up at a price of $40,350 with a market cap of over $750 billion. As per the on-chain data provider, the Bitcoin price hit its 3-week high and a recent push above $40,000 with a massive exchange outflow. The Bitcoin exchange flow balance turning negative on Monday was certainly a bullish indicator for the world’s largest cryptocurrency.
📈 #Bitcoin got up to a 3-week high $40.8k a few hours ago, and the upward push appears to be aided by a healthy flow of funds being moved off exchanges today. When flow balance heads into the negative like it consistently did Monday, it’s a #bullish sign. https://t.co/fP7yfPCpQS pic.twitter.com/XGHRHqYUmm
— Santiment (@santimentfeed) June 15, 2021
Bitcoin has been showing bullish momentum over the last few days making investors and analysts hopeful of its journey to the north. Besides, El Salvador making Bitcoin a legal tender has caused a major buzz with more Latin American countries showing interest in joining the bandwagon.
As per market analysts, if Bloomberg manages to move past the 200-DMA above $40,500, it will be setting up itself for its next move to $50,000.
At the same time, Bitcoin (BTC) continues to receive praise and backing from global billionaires. On Monday, June 14, American billionaire and hedge fund manager Paul Tudor Jones showered praised for Bitcoin saying that it serves as a great portfolio diversifier. He also announced a 5% portfolio allocation to Bitcoin.
MicroStrategy to Sell $1 Billion In Common Stock to Buy Bitcoin
On Monday, June 14, business intelligence firm MicroStrategy made two big announcements. First that it successfully completed the conversion of $500 million worth of corporate bonds due 2028 and the company is mulling to invest this amount in Bitcoin. As of now, MicroStrategy holds more than 92,000 Bitcoins in its treasury with its total investment going past $2.2 billion.
The second news is that the company is now considering the public sale of Class A Common Stock through an open market agreement.
— Michael Saylor (@michael_saylor) June 14, 2021
In this filing, the firm wrote: “We intend to use the net proceeds from the sale of any class A common stock offered under this prospectus for general corporate purposes, including the acquisition of bitcoin”.
The firm further noted: “The concentration of our bitcoin holdings enhances the risks inherent in our bitcoin acquisition strategy. Servicing our debt will require a significant amount of cash, and we may not have sufficient cash flow from our business to pay our indebtedness.”