Bitcoin News: Key On-Chain Metric Highlights Crucial Support Levels Amid Potential Pullback

Bitcoin’s recent uptrend may face a temporary pullback, but key on-chain metrics suggest strong support levels to stabilize the market.

Bitcoin’s Key Metric Points To Crucial Support Levels In Case Of A Pullback

Bitcoin has moved into positive territory, targeting key resistance levels. However, due to the volatile nature of crypto assets, the flagship asset’s recent uptrend might experience a brief drawback before resuming its upward direction. Alphractal, an advanced investment and data analysis platform, highlights a crucial on-chain metric that reveals important support levels Bitcoin may rely on if its recent uptrend falters. These levels, identified through the Bitcoin Alpha Price metric, are seen as benchmarks for the sustainability of BTC’s overall market strength.

MicroStrategy's Strategic Expansion in Bitcoin Holdings

MicroStrategy is making significant strides towards aligning with Wall Street's Big Tech companies. A pivotal shareholder vote is scheduled for January 21, with Michael Saylor, who controls 47% of the voting power, likely to influence the outcome. If the proposal passes, MicroStrategy will rank among the top five companies in the Nasdaq 100 for authorized shares, trailing only behind giants like Nvidia, Apple, Alphabet, and Amazon. The company has aggressively increased its Bitcoin holdings, doubling them in less than a year, and now boasts a valuation exceeding $44 billion after ten consecutive weeks of purchases. This expansion is part of a broader $42 billion plan announced in October to acquire Bitcoin over three years, utilizing an at-the-market share issuance program and debt sales. Currently, MicroStrategy is two-thirds through its $21 billion stock issuance allotment, underscoring its ambitious bet on Bitcoin's future.

Wyoming and Massachusetts Propose Strategic Bitcoin Reserve Legislation

Wyoming Representative Jacob Wasserburger introduced HB0201, the 'State Funds-Investment in Bitcoin Act,' proposing the creation of a strategic Bitcoin reserve. Senator Cynthia Lummis highlighted the potential benefits of this forward-thinking approach, emphasizing Wyoming's leadership in financial innovation.

Bitcoin (BTC) Price Prediction for January 17

Bitcoin's price has shown a significant recovery, increasing by over 3.1% in the last day, from around $100,000 to currently trading at $102,448. The cryptocurrency briefly peaked at $102,622 but could not sustain that level. Over the past 24 hours, Bitcoin's trading volume has risen by 5.5% to $61.2 billion. Since January 7, Bitcoin had been mostly declining, falling below $100,000 and reaching a low of about $89,397 on January 13. However, it has started to recover from this drop, leading to a 3.12% increase in its total market value to $2.02 trillion in one day. Analysts have observed a correlation between Bitcoin's price increases and the likelihood of establishing a Bitcoin reserve, suggesting that price surges may enhance the prospects of such a reserve.

Donald Trump’s ‘national crypto policy’ – Will U.S. hold a $20B Bitcoin Reserve?

Reports suggest that Donald Trump aims to establish a national crypto policy, potentially including the creation of a $20 billion Bitcoin reserve. This initiative could involve freezing ongoing crypto lawsuits and making cryptocurrency a national priority. The crypto community is optimistic about these developments, with market expectations for a U.S. strategic Bitcoin reserve (SBR) increasing significantly. Polymarket's odds of a U.S. SBR jumped to 44% following these reports. Additionally, there are indications that the incoming administration might set up a crypto council to advance the sector's policy and interests.