Bitcoin: Miners deploy new machines

Technical Picture: BTC Weekly

• The price is testing horizontal support.
• MA: 50 is above 200, with the price bouncing off the 50-period moving average – positive trend.
• Fibonacci: False breakout at the 38.2 level.
• DeM: The indicator is in the oversold zone, signaling a potential for new buys.

Technical Picture: BTC Daily

The price is attempting to break the short-term downward trend. If it manages to close above the diagonal resistance – now support – it will confirm the breakout.

Technical Picture: BTC 4h.

On the 4-hour chart, there is a breakout from a flag formation in an upward direction. It is more likely that the price will continue the upward momentum.

Fundamental:

Forecasts indicate that by the end of 2025, assets in Bitcoin ETF products in the U.S. may exceed $250 billion, signaling growing institutional participation and adoption of cryptocurrency as a primary financial instrument. CoinMarketCap notes that the current bull market differs from previous ones, with widespread acceptance of Bitcoin both by institutions and individual investors. This suggests more stable growth in the future.

Financial giants like BlackRock, Fidelity, and Vanguard offer Bitcoin ETF funds, easing institutional access to cryptocurrency.

Meanwhile, mining difficulty has made one of its largest jumps yet. Miners continue to deploy new machines despite weak profitability – a fact that historically has signaled long-term faith in future growth.

Traders are also expecting the Fed to start lowering interest rates soon, which would also support the price of cryptocurrency.

Conclusion:

I believe the low prices gave traders an opportunity to buy at good levels, with BTC remaining stable during the turmoil surrounding the tariffs imposed by President Trump. The 90-day pause around the tariffs has had a positive impact on the markets, and it is likely that we will see the price increase to levels around $95,500.

Alternative:

Traders remain concerned about the uncertainty surrounding the current tariff negotiations in the U.S. If President Donald Trump escalates his rhetoric again, this could trigger a renewed escalation in trade tensions. Such a development could reignite market fears, potentially causing a drop in the price of digital gold to levels around $74,000.