Key Insights:
Bitcoin might regain $100k soon as the momentum indicator RSI breaks the 4-month downtrend.
MicroStrategy has purchased 6.9k Bitcoins for $584 million and plans to buy $20 billion more.
Regulatory bodies like the SEC have shown overwhelming support for Bitcoin as an asset class.
• The IMF, which had a staunch anti-Bitcoin position earlier, now plans on buying BTC for its reserves.
Bitcoin has broken its 4-month downtrend with its RSI showing an increased momentum in the recent past. The RSI has been in a continuous fall since 11 November 2025, when it reached a high of 83 on 1D charts. Since then, it had been under a declining trend.
Bitcoin USDT Charts Showing Medium Term Trends
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On 26 February 2025, RSI reached a bottom of 23 (falling below $80k), which was its last downtrend. At this point, Bitcoin was severely oversold and undervalued. However, the momentum in Bitcoin failed to gain strength, and within a few days, the RSI again nosedived to a low of 31 on 10 March 2025, a bit higher than last time (23).
The positive trend in RSI then picked up pace, and the momentum indicator started an uptrend on 11 March 2025. Since then, RSI has recovered to the levels of 50, although in a zigzag pattern.
With the liquidity worries expected to ease down in April 2025, we might see a surge in RSI beyond 70, which is often called the bull market threshold.
Several known institutions and crypto-native whales have been accumulating Bitcoin and large cryptocurrencies and moving them off exchanges (possibly for long-term accumulation).
Michael Saylor's Strategy has recently purchased $584 million worth of Bitcoins from the open market, taking its reserves to 509k. The purchase is likely to initiate similar activity from other Bitcoin giants like Metaplanet, Riot Blockchain and other institutions.
Bitcoin's network activity has seen a record surge in transactions with nearly 200% growth as compared to last week. Despite being a reserve asset, such high network activity indicates the entry of new players in Bitcoin.
We expect this network activity to surge even higher as the US Government, clarified its position on Bitcoin purchases. The SEC presented a clear plan for the US Government to adopt the XRPL ledger, which is expected to help it save $7.5 billion annually, freeing up money to purchase Bitcoins.
Further, the re-classification of Bitcoin as a reserve asset might drive its inclusion into the financial reserves of individual countries.
Regulatory support would help Bitcoin in establishing a base support price in the long term. Otherwise, Bitcoin might remain volatile in the long term, which is a key roadblock in its global adoption.
The US SEC has taken the lead in lending this key support to Bitcoin. The US President has ended all the Biden-era administrative orders that limited the integration of Bitcoin in the US Financial System. As a result, there are over 20 Bitcoin Reserves in several US States like Texas, Arkansas, Pennsylvania and Ohio.
Further, the SEC's plan of freeing up funds by using XRP Ledger in place of SWIFT might save the exchequer around $7.5 billion per year, all of which could go to buying Bitcoin.
One of the staunchest opponents of Bitcoin, the IMF has finally accepted the classification of Bitcoin as a reserve asset. This re-classification is expected to drive the adoption of BTC as an asset for its own reserve as well as among its member countries.
Previously, Bitcoin saw key opposition from the IMF which directed Argentina, El Salvador and Africa to move away from pro-crypto policies.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.