Do you think $50,000 in Bitcoin is expensive? On April 30, MicroStrategy, a US-listed company, announced its financial report for the first quarter of 2021.
The financial report shows that in the first quarter of 2021, it purchased about 20,857 bitcoins for a total of US$1.086 billion, with an average purchase price of US$52,087 each. At a time when $50,000 in Bitcoin is considered expensive by most, institutions are secretly hoarding it.
Today's point of view
Long-term rating: Overweight
Short Cycle Rating:
Bitcoin accumulation
Lighten up in small-cap cryptocurrencies
Today's point of view
April is coming to an end, and the Asian market, European market, and US market will all be closed at 8:00 a.m. on May 1st, Beijing time. As we expected, Bitcoin ended the month with 6 consecutive positives and successfully closed negative.
Historically, during the course of Bitcoin’s bull market, the probability of closing positive in the second month after closing negative in the current month is 75%. Combined with the fact that Bitcoin has continued to organize in the range of 40,000 to 60,000 in the past 80 days, it has led to an important upward trend The line has successfully caught up with the price, and we believe that Bitcoin will have a strong upward demand in the next period of time.
Bitcoin is expected to form an anti-head and shoulders pattern at the 4-hour level. Once Bitcoin breaks through $57,650, it is expected that Bitcoin will start a new upward trend.
Bitcoin’s market capitalization ratio fell below 50%, currently reported at 49.34%. Although the percentage briefly fell below the 50% range, we still believe that Bitcoin’s market capitalization ratio will rebound at the current point.
In this round of bull market, we believe that as the blockchain ecology matures, the proportion of Bitcoin’s market value will hit a new low, but the last madness will not happen in April or May. If it rises, it will become a serious peak signal.
In terms of Ethereum, we see that the Ethereum and Bitcoin trading pair has reached an important ascending channel resistance level, and there is a possibility of a pullback.
In general, the fundamentals of Bitcoin, the historical cycle and the price expectation of this round of bull market make us think that the market is not yet ready to enter the final mad bull. Re-inflow of demand for Bitcoin.
