Bitcoin Price Analysis: BTC Starts Crucial Week In The Red, Slips Below $109,000

Bitcoin (BTC) has started the week in bearish territory despite early gains. The flagship cryptocurrency started positively, rising to an intraday high of $109,726 before losing momentum and dropping to its current level. 

BTC is down 0.48%, trading around $108,698. Analysts believe BTC is on the verge of a big move, with its Bollinger Bands reaching a critical point that could suggest a breakout is imminent. 

MetaPlanet Purchases 2,205 BTC To Take Total Holdings Past 15,000 

Japanese Bitcoin treasury firm Metaplanet has completed the acquisition of an additional 2,205 BTC, taking its total holdings to 15,555 BTC. The firm made its latest purchase at an average price of 15.64 million yen per Bitcoin for a total price of 34.49 billion yen ($213 million). The purchase pushes Metaplanet’s aggregate Bitcoin investment to 225.82 billion yen ($1.38 billion), with a blended average purchase price of 14.52 million yen per BTC. The company reported a BTC yield of 95.6% for the quarter ending June 30 and reported a 309% yield during the previous quarter. BTC Yield reflects the percentage change in Bitcoin holdings per fully diluted share. 

Metaplanet’s latest purchase is its largest single-day purchase since it began its Bitcoin strategy. The firm redeemed 6 billion yen worth of bonds issued last June, using the proceeds to complete its latest acquisition. Metaplanet has consistently used this approach, raising capital and converting it into Bitcoin. 

Bitcoin Whale Not Selling After Record Transfer 

Blockchain intelligence firm Arkham has said that the $8.6 billion worth of Bitcoin (BTC) moved last week does not seem to be heading for a sell-off. Arkham believes that the transfers may be the owner upgrading from the original legacy wallet to a Native SegWit address, which offers improved security and lower fees. 

“There are no indications that this whale is selling Bitcoin. Yesterday’s $8 billion transfers were possibly related to address upgrades, moving from 1-addresses to bc1q-addresses.”

Bitcoin (BTC) Heads Into Crucial Week 

Bitcoin (BTC) traded in a range for most of last week, despite drops to $105,400 and a brief move past $110,000 on Thursday. The flagship cryptocurrency heads into a crucial week with President Trump’s tariff deadline looming, and the Federal Open Market Committee (FOMC) minutes, scheduled for release on Wednesday. President Trump’s tariff deadline is likely the most important catalyst for Bitcoin and the broader market. The 90-day pause expires on July 9. The US has reached preliminary trade agreements with several countries, including China and the UK. However, Canada, the European Union, Japan, and South Korea may revert to the tariffs announced in April. A return of retaliatory tariffs could be bearish for Bitcoin and other cryptocurrencies. 

BTC had plunged to a low of $74,000 after Trump’s Liberation Day speech before bouncing back when he announced the 90-day pause. 

The Federal Open Market Committee (FOMC) minutes are also scheduled for release on Wednesday and could act as another decisive catalyst for BTC. The minutes are expected to provide more information about the previous meeting, where the Fed left interest rates unchanged between 4.25% and 4.50%. The minutes will also shed light on when the Fed could cut interest rates. A rate cut will be bullish for BTC and the broader crypto market. However, the odds of a rate cut have reduced due to strong nonfarm payrolls data. 

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) has registered a sharp decline during the ongoing session, with the price down nearly 1%. The flagship cryptocurrency lost momentum despite starting the week in positive territory, rising to an intraday high of $109,726 before quickly losing momentum. BTC fell to a low of $107,340 on Friday but recovered over the weekend, registering a marginal increase on Saturday before rising nearly 1% on Sunday and settling at $109,229. However, selling pressure has returned during the ongoing session, with the price at $108,332. 

Despite the decline, analysts believe BTC is positioned for a recovery, based on the position of the Bollinger Bands. Bollinger Bands are used to assess momentum and volatility within a certain range. One analyst pointed out that the bands were at their tightest point in nearly a year, suggesting that a big push upwards could be imminent. 

“Bitcoin Bollinger Bands are tighter than they’ve been in over a year. BIG PUMP INCOMING!”

BTC surged 75% between February and March 2024 after breaking above the upper Bollinger Band boundary. Other analysts were quick to spot the emerging pattern, with analyst Cantonese Cat stating, 

“Bollinger band is tighter than it’s been for over a year. Bigger move coming.”

Analysts believe the bull trend is intact despite multiple rejections around $110,000. The flagship cryptocurrency has registered consistent institutional demand through ETF inflows and treasury companies. Additionally, a cup-and-handle pattern in higher timeframes indicates a potential breakout towards $200,000. 

BTC started the previous weekend in positive territory, rising 0.14% on Friday and 0.20% on Saturday to reclaim $107,000 and settle at $107,339. Bullish sentiment intensified on Sunday as the price rose almost 1% to cross $108,000 and settle at $108,350. Despite the positive sentiment, BTC lost momentum on Monday, dropping 1.09% to $107,167. Sellers retained control on Tuesday as the price fell 1.33%, slipping below $106,000 to $105,742. BTC recovered on Wednesday, rising nearly 3% to cross $108,000 and settle at $108,845, but not before reaching an intraday high of $109,792.

Source: TradingView

Buyers retained control on Thursday as BTC reached an intraday high of $110,583 before settling at $109,650. The flagship cryptocurrency lost momentum on Friday, dropping 1.42% to $108,097. Price action turned positive over the weekend as BTC rose 0.19% on Saturday and nearly 1% on Sunday, reclaiming $109,000 and settling at $109,229. Selling pressure has intensified during the ongoing session, with the price down almost 1% at $108,397.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.