Tesla's currency holding address changes, BTC tests the $68,000 resistance level

Original title: "Tesla's currency holding address changes, BTC tests $68,000 resistance"

Original source: BitpushNews

On Tuesday, the crypto market rose, and at this time, Tesla's Bitcoin holdings were almost all transferred after two years of silence.

According to Arkham Intelligence data, around 21:30 UTC on October 15, addresses associated with Tesla transferred BTC (11,509 pieces) worth about $765 million in batches to multiple unknown wallets, which seems to be the company's entire remaining Bitcoin reserves.

Bitpush previously reported that in the first quarter of 2021, after Bitcoin rose to a high of nearly $62,000, Tesla sold $272 million worth of Bitcoin and made a profit of $128 million. The company also sold $936 million worth of Bitcoin in the second quarter of 2022, bringing in $64 million in gains.

The purpose of the latest transfer is unclear. Some analysts believe that Tesla may just be strategically adjusting its positions, while others believe that these transfers may indicate potential sales or the reintroduction of Bitcoin as a payment method for its electric vehicles.

According to BitcoinTreasuries data, Tesla is the fourth largest Bitcoin holder among US listed companies. The top three are software company MicroStrategy, Bitcoin mining company MARA Holdings and Riot Platforms.

Bitpush data showed that the price of Bitcoin fluctuated upward in early trading on Tuesday, soaring to a high of $67,960, the highest since July 29. It then quickly fell to $64,787, and climbed again to above $67,000 after lunch. The next key resistance level is $68,000. At press time, Bitcoin was trading at $66,760, up 0.68% in 24 hours.

Most of the top 200 altcoins by market value suffered losses that day. Storj (STORJ) led the gains, up 22.1%, Scroll (SCR) up 13.7%, and Metis (METIS) up 9.9%. Saga (SAGA) fell the most, down 11.5%, Mog Coin (MOG) fell 10.7%, and Sui (SUI) fell 9.4%. The current overall market value of cryptocurrencies is $2.3 trillion, with Bitcoin accounting for 57.5%.

In the U.S. stock market, the S&P, Dow Jones and Nasdaq indices were in the red for most of the trading day, closing down 0.76%, 0.75% and 1.01% respectively.

Bitcoin open interest is at record levels, driven by institutional investors

Data shows that Bitcoin's open interest is at record levels, and Polymarket's market sentiment believes that Bitcoin has a 64% chance of hitting a new high in 2024, an increase of 9% from last week. Analysts at Secure Digital Markets said this was mainly driven by institutional investors, and the open interest weighted funding rate is currently at a multi-month high, reflecting a bullish outlook in the short to medium term.

In addition, spot Bitcoin ETFs saw a total inflow of $810 million in two trading days, with Fidelity and ARK seeing the largest inflows, while Ethereum ETH attracted $17 million in inflows yesterday, mainly contributed by BlackRock's products.

JP Morgan analysts are bullish

The bullish momentum for Bitcoin was highlighted in an alternative investment outlook and strategy report released by JPMorgan analysts, led by managing director Nikolaos Panigirtzoglou.

"In summary, we are optimistic about digital assets in 2025," the analysts said, pointing to several factors driving their outlook, including the emergence of "depreciation trades," a trend in which investors turn to alternative asset classes such as gold and Bitcoin to hedge against economic instability.

Analysts note that as geopolitical tensions rise and the upcoming US election dominates the headlines, speculative institutional investors such as hedge funds may see gold and Bitcoin as beneficiaries of this trend.

With polls showing an increasingly likely Trump win, analysts say the devaluation trade could further strengthen as tariffs and expansionary fiscal policy (also known as debt devaluation) related to geopolitical tensions could further weaken the dollar.

Other positives include traditional wealth advisors such as Morgan Stanley being allowed to recommend spot Bitcoin ETFs to clients, Mt. Gox and Genesis creditors halting large-scale liquidations of Bitcoin, and upcoming cash payments from FTX's bankruptcy, which analysts say could be reinvested in the market.

Analysts also highlight that the market capitalization of stablecoins is approaching its previous peak of around $180 billion (the level before the Terra/Luna crash in 2022). Stablecoin legislation in the United States will likely appear sometime in 2025, and it is expected that once it is finally implemented, adoption will increase, making stablecoins more mainstream.

Ledn Chief Investment Officer John Glover analyzed on the X platform that the price of Bitcoin "has broken through the parallel channel (flag pattern, blue line below)".

John Glover said: "Usually, for safety reasons, I look for two consecutive days of closing prices above or below the trend line breakout point, so although it is not time to go all out, this breakthrough may indicate the next rise and retest the high of $73,000. Please be patient and wait for the closing price to confirm because we must stay above $65,000, but from a technical point of view, BTC's trend looks positive. "

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