Is Smart Money Signaling a Rally with Bitcoin Price Back Above $107K?

Key Insights:

• Metaplanet purchased 1.112K BTC worth $117.68 million, signaling renewed institutional confidence in Bitcoin.
• Bitcoin reclaimed the $107K level after a sharp breakout, forming a bullish consolidation near $107.3K resistance.
• Analyst’s chart shows historical support touches suggesting a possible Bitcoin rally toward the $400K mark.

A major Bitcoin (BTC) purchase and a key price breakout have given the top cryptocurrency a renewed focus on its present market cycle. Additionally, several signs of heightened institutional activity have made Bitcoin price bullish structure firmer.

Metaplanet Acquires Over $117 Million in Bitcoin

Metaplanet, a publicly listed firm, recently acquired 1.112K BTC valued at approximately $117.68 million. According to blockchain transfer statistics, the transaction took place on 16 June and included a transfer of QCP Capital WBTC Merchant Deposit Address to a Metaplanet cold wallet.

Notably, the timing of this acquisition suggested accumulation during price dips. Furthermore, the acquisition reveals the longer-term holding patterns as opposed to short-term speculation. The firm’s action was also a sign of a wider institutional interest in Bitcoin due to the uncertainty of the macro environment, as the stability of fiat currency jumped.

In addition, this purchase pushed Metaplanets’ BTC holdings to 10K. It also placed the company among the growing number of large entities adding Bitcoin to their balance sheets, including Michael Saylor’s Strategy.

Meanwhile, previous reports suggested that Metaplanet is building a digital asset treasury model similar to those adopted by early corporate adopters of Bitcoin.

Bitcoin Price Breaks Above $107K as Bulls Retake Control

Amid Metaplanet’s purchase, Bitcoin price surged above the $107,000 level in the early trading session, following a brief period of consolidation. Data from Binance showed that BTC moved sharply higher around 07:30 UTC, lifting from under $106,800 to reach a peak of $107,259. The move came with increased volume and a clear break from the previous tight trading range.

Following the breakout, Bitcoin price found a tight consolidation zone just below the local resistance. This action coincided with a bullish flag pattern, in which the price has paused in anticipation of a possible rise. The region at 107k level is currently a critical support, indicating buyers are getting in to protect profits.

Besides, the immediate resistance is $107.3K, to establish momentum for a short-term continuation. The broader bullish context, coupled with institutional buying interest, is drawing the possibility of a rally.

Analyst Charts Historical Pattern Toward $400K

More so, analyst AO pointed out a long-term Bitcoin price chart, plotting it against a volatility-based envelope for several years. The chart was constructed using weekly data from 2014 to date. It revealed that each primary bottom has been preceded by a touch of the bottom green band, and every peak has been matched with the top red band.

According to the analysis, Bitcoin price recently touched the lower boundary of this volatility band, which in previous cycles preceded major upward trends. The chart projected a potential trajectory toward the red upper band, which currently intersects with the $400,000 level by 2026.

Moreover, this trend has been replicated in previous cycles, such as in 2017 and 2021. Each round had a similar structure. It began with support at the bottom, a breakout period, and price action up until the upper resistance was reached.

Supporting a near-term Bitcoin price breakout, recent analysis showed BTC holding firm above $105K as traders eyed a push past $107.8K. Analysts noted a volatility squeeze and strong support at $100K, while technical resistance at $106.6K was critical for a move toward the $110K to $120K range.