Bitcoin Supply Shock Coming as BTC Price Tastes Two Extremes This Week - BeInCrypto

Thus far this week, the crypto market has tasted two extreme sides of price movement, with Bitcoin soaring to an all-time high (ATH) above $108,000 while dropping as low as $95,587.68.

Bitcoin price drops below $96K despite top firms’ massive crypto accumulation

U.Today - Thus far this week, the crypto market has tasted two extreme sides of price movement, with Bitcoin soaring to an all-time high (ATH) above $108,000 while dropping as low as $95,587.68. The week also saw a massive accumulation streak from top pro-Bitcoin firms.

Bitcoin price fell below $96,000 on Wednesday, continuing a sharp drop from record highs scaled earlier this week.

However, a top Bitcoin advocate has attributed the price drop to a “supply shock” coming to the market.

Bitcoin price drops after hitting ATH

After hitting a record high on Monday, the world’s largest cryptocurrency dropped sharply on Tuesday and Wednesday. Bitcoin’s price dropped as low as $95,587.68 on Wednesday morning, according to data from Binance.

After failing to hold at higher levels, the coin dropped further to trade at $95,243.24 at the time of writing, down 3.54% over the past 24 hours.

However, the coin still managed to trade in the green year-to-date with gains of up to 10.38%.

Bitcoin price recovered from a low of around $95,000 on Tuesday after news that MicroStrategy had purchased an additional $1.5 billion in Bitcoin.

This brings the company’s total Bitcoin holdings to 439,000 BTC.

Other smaller firms with Bitcoin treasuries, such as MARA Holdings, also announced major purchases this week, quickly depleting the coin’s circulating supply.

Despite this trend, Bitcoin prices still fell off, and Samson Mow has broken the silence on what is happening.

Bitcoin supply shock coming

Earlier this week, MicroStrategy bought another $1.5 billion worth of Bitcoin to increase its total holdings to 439,000 BTC.

Beyond MicroStrategy, other smaller firms with Bitcoin treasuries, including MARA Holdings, also announced major purchases, effectively depleting the coin’s circulating supply.

Amid this buy-ups, the market has not moved past the $108,000 level; rather, it has failed to maintain support around the $100,000 mark.

In his reaction, Samson Mow said investors need to trust their instincts and understand that a "supply shock is coming."

Imminent BTC price recovery

As of writing time, the price of Bitcoin has dropped 3.54% in 24 hours to $95243.24.

Amid the ongoing freefall, the coin is bound to see a major retest of this level, as it has formed a strong support around this price range over the past month.