Will the Uptrend Continue with the BTC Accumulation Strategy?

Bitwise Chief Investment Officer Matt Hougan predicts that Bitcoin’s recent rise could continue for quite some time thanks to a special stock issuance in the BTC detailed analysis. The cryptocurrency has recovered about 20% from its February lows and settled at 76.923,70 dollars (+%0,08 in 24 hours). This rally was supported by ETFs making 3.8 billion dollars in purchases since March 1 and long-term holders’ buys; however, Strategy succeeded in being the biggest factor by accumulating 7.2 billion dollars worth of Bitcoin over the last eight weeks.

How is Strategy’s BTC Accumulation Supporting the Price?

Hougan emphasizes that the company accelerated this accumulation with funds obtained by issuing its perpetual preferred share called STRC. The company finances Bitcoin purchases with this instrument while also strengthening market liquidity. STRC is an instrument that trades like a stock but offers a bond-like 11.5% yield. It purchased 3.273 BTC for 255 million dollars last week and increased its total to 818.334 BTC. At current prices, dividend payments appear sustainable for 42 years. According to Hougan, with a 20% annual rise, dividends could be paid forever; reserves exceeding 40 billion dollars provide great security.

Critical Support and Resistance Levels for BTC

• Supports: S1: 76.403,52$ (Strength: 86/100 ⭐ Strong, -%0,32 distance)
• S2: 73.661,86$ (Strength: 77/100 ⭐ Strong, -%3,90 distance)
• Resistances: R1: 79.479,24$ (Strength: 74/100 ⭐ Strong, +%3,69 distance)
• R2: 77.224,51$ (Strength: 71/100 ⭐ Strong, +%0,75 distance)

RSI 56,85 (neutral), sideways trend, Supertrend bearish, EMA 20: 75.536$. These levels are critical for BTC futures.

Frequently Asked Questions About Bitcoin and Strategy

How long will Strategy’s BTC purchases continue? The expectation of collecting billions more dollars is providing a price floor.

Why is STRC’s yield attractive? Below junk bonds’ 7%, it offers 11.5%.

What is the BTC rally dependent on according to Hougan? Institutional accumulation is transforming the market.