Bitcoin Drops 1.5% to $83,200 Amid Volatility and Institutional Interest
2min read Bitcoin (BTC) experienced a volatile trading session, giving up early gains and trading marginally down at $83,200. The cryptocurrency attempted a rally but lost momentum around the 20-day Simple Moving Average (SMA), indicating a growing correlation with traditional markets as governments and major institutions increase their interest in the asset. block CEO Jack Dorsey highlighted the potential impact of institutional adoption on Bitcoin's foundational principles, warning that it could reduce the cryptocurrency's usefulness in regular transactions if it becomes solely a store of value.
BTC started the previous week on a bullish note, reaching an intraday high of $88,839. However, it faced selling pressure and volatility, leading to marginal declines on Tuesday and Wednesday, with the price settling at $86,942. On Thursday, btc registered a marginal increase to reclaim $87,000 and settle at $87,236. Bearish sentiment returned on Friday as BTC plunged below the 200-day SMA and $85,000, settling at $84,422. The bearish trend continued over the weekend, with BTC falling over 2% on Saturday and 0.36% on Sunday, settling at $82,404.
On Monday, BTC encountered volatility as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand, with BTC registering a marginal increase and settling at $82,511. Bullish sentiment intensified on Tuesday as BTC rose over 3%, moving past the 20-day SMA and $85,000, and settling at $85,150. The price surged to an intraday high of $88,624 on Wednesday as bullish sentiment intensified in the leadup to a significant event. However, sentiment turned bearish, and BTC fell over 3%, slipping below the 20-day SMA and $85,000, and settling at $82,535. Despite overwhelming selling pressure, BTC recovered on Thursday, rising almost 1% to $83,199. The current session sees BTC marginally down as buyers and sellers struggle to establish control. The Relative Strength Index (RSI) is just under the neutral zone, while the Moving Average Convergence Divergence (MACD) has a slight bullish bias, indicating buyers have the upper hand.
Genius Group, a Singapore-based artificial intelligence firm, has been temporarily banned from buying more Bitcoin after a US court order barred the company from selling shares, raising funds, and using investor funds to buy more of the asset. The preliminary injunction and temporary restraining order (TRO) were issued by a New York District court in connection with a broader dispute regarding its merger with Fatbrain AI. Fatbrain AI and genius group completed a merger and purchase agreement in March 2024. However, on October 30, Genius initiated arbitration proceedings to terminate the agreement alleging fraud by Fatbrain AI executives connected to the deal. The injunction forced Genius Group to close divisions, halt marketing activities, and sell 10 BTC from its stash of 440 to fund operations. The firm has not ruled out more sales of Bitcoin. Fatbrain AI shareholders also filed two lawsuits against Fatbrain AI executives, including Moe, Ritz, and Genius, alleging violations of federal securities laws in connection with the merger. However, Genius Group has stated the injunction forced it to break Singapore law by halting employee compensation.
Japanese game developer Enish has announced a strategic investment of 100 million yen ($660,000) in Bitcoin. The purchase is set to be completed between April 1 and April 4. The acquisition is part of a broader initiative to deepen the company’s understanding of blockchain technology and enhance its game development capabilities. The game developer plans to integrate crypto assets into its financial strategy while leveraging BTC’s liquidity, market stability, and potential long-term growth. The company also plans to allocate a portion of its liquid funds to Bitcoin, conduct quarterly market valuations of its Bitcoin assets, and include any gains or losses in its financial statement. It has also pledged to disclose any significant market event that could impact its performance.
Ask Aime: Why is Genius Group's Bitcoin ban causing turbulence in the market?
