BTC Trades at $41,450 Up 5% in the Last 24 hours

The Bitcoin price is up more than 5% over the last 24 hours to exchange hands at $41,450 as of 2:30 a.m. EST.

BTC blasted past the $41,000 level during the early Asian trading hours on Monday amid increasing demand from institutional investors and retail traders.

Bitcoin adoption has been growing within the U.S. financial system, the world’s largest economy. Microstrategy, the largest institutional holder of BTC, announced that it had acquired an additional 16,130 BTC for approximately $593.3 million at an average price of $36,785 per Bitcoin.

Michael Saylor, the chairman and founder of the business intelligence firm, said that the latest acquisition was funded by selling shares in November, with prominent fund manager BlackRock among the notable buyers.

MicroStrategy has acquired an additional 16,130 BTC for ~$593.3 million at an average price of $36,785 per #bitcoin. As of 11/29/23, @MicroStrategy now hodls 174,530 $BTC acquired for ~$5.28 billion at an average price of $30,252 per bitcoin. $MSTR https://t.co/hSEZyzGBsr

— Michael Saylor⚡️ (@saylor) November 30, 2023

MicroStrategy now holds 174,530 BTC purchased for approximately $5.28 billion at an average price of $30,000 BTC.

Meanwhile, United States Space Force Major Jason Lowery has urged the Defense Department to consider adopting the big crypto as an ‘offset strategy.’ According to Lowery Bitcoin, along with its underlying proof-of-work (PoW) technology, could serve as contemporary tools in redefining the landscape of cyber warfare and defense. This trend is indicative of increasing institutional interest in Bitcoin

Moreover, Bitcoin ETF FOMO has captured traders, playing a pivotal role in driving the latest rally. Analysts are expecting the U.S. Securities and Exchange Commission (SEC) to approve all spot BTC ETFs by January 10, 2024.

Bloomberg analyst James Seyffart says that the agency has a narrow window between January 5 and 10 to decide whether to approve or reject the proposals.

Window is officially Jan 5th to Jan 10th. Really this means that any potential approval orders are going to come on either Monday Jan 8, Tuesday Jan 9, or Wednesday Jan 10. Mark your calendars people. https://t.co/8ob8Y6pgU5

— James Seyffart (@JSeyff) December 1, 2023

There are at least a dozen Bitcoin spot ETF applications before the SEC and the regulator is expected to approve a bunch of the products to ensure not one of them gets an unfair advantage or head start. This has led to a surge in FOMO (Fear of Missing Out) trading activity, as investors aim to capitalize on the potential benefits of these ETFs.

Can Bitcoin Bulls Push BTC to $50,000?

Bitcoin’s current uptrend, increasing institutional adoption and FOMO has led to increased investor risk appetite toward the pioneer cryptocurrency. This is a bullish signal which coupled with the likely approval of a bunch of BTC spot ETFs could significantly boost the rally in December.

The Moving Average Convergence Divergence (MACD) indicator reinforces the bullish outlook, as it moves upwards within the positive region. Note that this trend-following oscillating indicator has sent a call to Buy Bitcoin on the daily chart. This happened on Saturday, Dec. 12, when the  MACD line in blue crossed above the signal line in red. Bitcoin price will uphold the bullish thesis for as long as the MACD is moving higher above the neutral zone.

Key levels to watch on the upside is the major resistance provided by the $45,000 psychological level and the $50,000 supply zone. Reaching this level would represent a 20% uptick in Bitcoin’s price from the current level.

BTC/USD Daily Chart

On the other hand, intense profit-taking at the current price could see the BTC price retreat to seek solace from the psychological level at $38,000.

In case of another dip below $38,000, support provided by the 50-day Exponential Moving Average (EMA) at $35,482 could come in handy. Further declines below this foot hold would see Bitcoin retreat lower to seek refuge at the 100-day EMA (blue) at $32,930, the $32,000 psychological level, or even the 200-day EMA (blue) at $30,515.