Bitcoin continued its downward trend after the major options expired on Friday. We also entered as sleepy Japanese company Konbano announced its BTC purchase strategy.
summary
- Bitcoin prices could crash to $100,000 due to recent declines in momentum.
- Japanese company Convano aims to buy $3 billion worth of coins.
- Bitcoin strategic companies have lost momentum this year.
Combano accumulates $3 billion worth of Bitcoin
Bitcoin (BTC) prices were checked at the end of Saturday, falling more than 5.4% over the past seven days, down 13% from the year's all-time high. The crash was caused by rising Federal Reserve, increased crypto liquidation, and increased uncertainty over the expiration dates of billions of dollar options.
Still, despite the current crash, the small Japanese nail salon operator known as Convano has launched a new Bitcoin buying strategy. It is currently rising around $3 billion and is being used to acquire 21,000 bitcoins. The planned capital raise is far higher than the market capitalization of $386 million.
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Convano hopes to become a successful storyline, such as strategy and metaplanet. The strategy previously known as MicroStrategy has jumped its market capitalization to $90 billion from around $1 billion in 2020, driven primarily by a Bitcoin purchasing strategy.
Similarly, Metaplanet has moved from the hotel owner to a $2 billion company, helping to buy 18,991 Bitcoin.
The risk of Convano is that Bitcoin finance companies are not doing well. Strategic stocks have plummeted more than 25% since 2024, but Metaplanet has crashed more than 50% since the start of the year.
Other top companies that have adopted this strategy, such as GameStop, Microcloud Hologram and Trump Media, are also hindering it. According to Bitcointreasuries, there are currently over 100 companies holding more than 989,926 coins.
Bitcoin Technical Analysis
BTC Price Chart | Source: crypto.news
The daily time frame chart shows the price of BTC crashed after peaking at a record high of $124,200 earlier this month. The BTC is below the 100- and 50-day index moving averages, but the average directional index has risen to 19, indicating a stronger downtrend.
It also formed a double-top pattern and moved under the neckline for $111,834. The height of this pattern is approximately 9.3%. If you measure the same distance from the neckline, you could crash to $100,000 in the next few days.
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