How the $10M acquisition of Bitcoin from MicroStrategy makes the market recover to $32K

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More dedication to its treasury sees MicroStrategy entering Grayscale as the major buyer this week, while some are also selling.

Bitcoin (BTC) showed signs of revival on January 22 after a trip of less than $30,000 provided fresh buyer support.

BTC price seals 8.5 percent a day rebound

Data from TradingView showed a stronger trading day for BTC/USD on Friday, with daily gains at 8.5% at the time of writing.

The rebound follows a tumultuous 24-hour change in which Bitcoin fell to $28,950—a main amount when it comes to whale funding and just its second dip below $30,000 this year.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

At the same time, MicroStrategy, well known for its ever-increasing Bitcoin treasury, reported that it had bought 314 BTC to put its overall stockpile to 70,784 BTC.

“Microstrategy just bought 314 more #Bitcoin for $10M. @michael_saylor bought the dip,” Twitter-based information resource Documenting Bitcoin summarized, referring to the company’s CEO, Michael Saylor.

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The new buy-up arrived at an average price of $31,808 a bitcoin and joins fund manager Grayscale’s continuing investments that defy the aggregate selling action in the last several weeks.

All eyes on whales at $29,000

Among other big BTC holders, competition persisted in the field at just under $30,000.

According to the Whalemap resource tracking, this field is important to sustain in order to prevent a further price dip on BTC/USD, which may push the pair closer to $20,000.

“Falling below $28,727 and consolidating there will give us another big drop to at least $23,818,” explained part of a series of tweets, along with the accompanying images.

Bitcoin whale support levels chart. Source: Whalemap/ Twitter

“Not many supports below $28,727 right now, so if we start consolidating there, it will probably bring BTC all the way to at least $23,818,” co-founder Artem Lazarev told Cointelegraph.

“$23,818 is not super strong but nevertheless should provide time for BTC to reassess the situation. Otherwise, $19,322 is super strong and a level for which big guys are setting their stoplosses probably.”

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