Bitcoin (BTC) Breaks $82,000 and Renews High... Official End to the Tedious Bear Market

▲ Bitcoin (BTC) Bull Market

Bitcoin (BTC) has recaptured key moving averages and set new highs, signaling the official end of a long-term bear market.

Scott Melker, host of the cryptocurrency podcast The Wolf Of All Streets, stated in an episode on September 22 (local time) that "a breakout and close above the 50-day moving average on the weekly chart has been confirmed." Melker explained, "Historically, every time Bitcoin has transitioned from a bear market to a bull market, the establishment above the weekly 50-day moving average has served as the trigger." He added, "By breaking through the $82,814 level and forming a new high, the bear market scenario has completely collapsed from a technical analysis perspective."

Price reactions becoming insensitive to negative news were also presented as a strong signal of having passed the bottom. Despite the collapse of the US cryptocurrency market structure bill last week and the Federal Reserve (Fed) raising interest rates, Bitcoin continued its upward trend without falling. Melker diagnosed that a market structure where negative news could not drag down prices had been completed, along with a bullish divergence in the weekly Relative Strength Index. Regulatory adjustments, such as the conditional approval by the US Office of the Comptroller of the Currency (OCC) for stablecoin infrastructure company Bastion to acquire a federal national trust bank charter, also acted as a positive factor.

Institutional Bitcoin accumulation engines have also restarted. Strategy added $75.7 million worth of Bitcoin during the week. It also purchased STRC worth $174 million and paid $57.5 million in dividends, demonstrating its financial strength. Currently, Strategy holds approximately $5 billion in designated reserves and $1 billion in liquid cash.

Asset management firm Strive (ASST) showed stronger buying activity than Strategy during the week. Strive aggressively bought 1,355 BTC at an average price of $79,475. Its cash holdings also increased to $229.6 million. Melker predicted that as the competition to incorporate Bitcoin into corporate financial statements reignites, the recovery in stock prices of listed companies holding digital assets would also accelerate.

[Key Article Summary]

-Bitcoin (BTC) recaptured the weekly 50-day moving average and broke above $82,814, signaling an official entry into a bull market.

-It continued to rebound despite negative news such as legislative failure and interest rate hikes, completely breaking free from the technical bearish trend.

-Strategy and Strive each made large-scale additional Bitcoin purchases, driving institutional capital inflows.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*