Bitcoin Price News: Big Jump Off $60K Likely as Meta Planet Invests $170M in BTC

Bitcoin (BTC) has jumped above $60,000 in the past 24 hours, recovering strongly after a Japanese Bitcoin treasury company bought a large amount of the top crypto.

Metaplanet, a Japanese version of Michael Saylor’s Strategy, just bought 2,823 BTC tokens, spending approximately $170 million to further increase its digital asset treasury (DAT).

To date, this company has amassed 43,000 BTC tokens valued at around $2.7 billion at today’s price.

This big purchase is probably the reason why the top crypto is jumping today, in addition to a spike in long liquidations caused by a surge above the $60K mark.

Trading volumes have jumped by 37% in the past 24 hours to $46 billion, accounting for nearly 4% of the asset’s circulating market cap.

For Bitcoin, these are important volumes. However, Metaplanet’s influence in the market’s dynamics today could distort the technical picture.

We still have significant macro headwinds in play that favor a bearish outlook in the near term. It will depend on the market’s focus on how high this uptick may go.

Short liquidations have spiked to $455 million in the past 24 hours alone, reflecting an ongoing short squeeze.

Weekly Buy Signal Still in Play After Today’s Jump – Can BTC Rise to $200K?

It is encouraging that this jump has occurred in the context of a major buy signal in the weekly chart that we have been keeping track of as well, as BTC just retested its cycle low of $60,000.

This is consistent with what has happened historically and what has played out favorably for this signal.

The latest price action looks similar to the 2015 and 2019 cycle bottoms, when BTC bounced off a specific level after the Relative Strength Index (RSI) dropped below 30 and then retested that same level a few weeks later.

What happened next was a strong rally that ultimately pushed the token to a new all-time high. History does not necessarily repeat, but it often rhymes.

If this signal plays out as expected, in line with historical patterns, we see the price of BTC rising to $200,000 in the long term. For that to happen, the $60,000 threshold would have to hold.

Otherwise, we may face a steeper drop to $50K, and then we may revisit this projection depending on where the cycle bottom ends up being.

BTC Could Rise to $75K If We Get a Confirmed Buy Signal

Heading to the daily chart, we can see that BTC bounced strongly off $58,000. In a recent Bitcoin price prediction, we emphasized that a break below this mark could trigger a strong drop to $50K.

However, bulls defended this threshold, and MetaPlanet’s purchase may have triggered some FOMO. If the uptrend continues, the price could rise to the 200-day exponential moving average (EMA) at around $75K.

The Relative Strength Index (RSI) just changed course after rising above the signal line. If volumes continue to rise and push past the 14-day moving average, we should get a buy signal from our signals system.

This would confirm that BTC is on the move, as our system tracks a specific candle pattern. Since we are at a key level, this could be a high-probability trade. Stay tuned for our next update on Bitcoin to see if that signal pops up.