The Blockchain Group has bolstered its Bitcoin treasury with a $50M purchase, as analysts eye a potential BTC rally toward $95,000.
By Parth Dubey
Updated
3 mins read
Amid the growing corporate interest in Bitcoin BTC $85 227 24h volatility: 0.7% Market cap: $1.69 T Vol. 24h: $12.73 B , France-based The Blockchain Group has expanded its BTC treasury with the purchase of 580 Bitcoin, valued at over $50 million. The latest purchase, disclosed in a March 26 after-hours statement, is the company’s largest BTC buy to date.
The company’s stock price has surged by a staggering 225% since it started the Bitcoin accumulation strategy in November. The first purchase of 15 BTC occurred on November 5, coinciding with Donald Trump’s victory in the U.S. presidential election.
The Blockchain Group followed up with another buy of 25 BTC on December 4, when Bitcoin was trading at $96,000. This move came just ahead of the highly anticipated $100,000 price breakout.
According to the company’s website, the Bitcoin investment strategy aims to leverage its excess cash reserves and strategic financing instruments to capitalize on BTC’s appreciating value.
Interestingly, the latest purchase coincided with GameStop’s announcement that it plans to buy Bitcoin, a decision that sent the retailer’s stock soaring by nearly 12%.
Bitcoin is currently trading at around $87,400, with no loss or gains in the past 24 hours. However, analysts are turning bullish as a classic inverse Head & Shoulders (H&S) pattern takes shape on the 3-day price chart.
The inverse H&S is a bullish reversal pattern, typically indicating the end of a downtrend and the beginning of an upward move. The neckline resistance appears to be around $87,600, and a confirmed breakout above this level could trigger a rally toward $95,000.
Popular crypto trader SuperBitcoinBro noted the development on X, adding, “That’s just the target for this smaller pattern. If it plays out, we could see six-figure gains from patterns on higher time frames.”
On the daily BTC price chart, the MACD line has crossed above the signal line, signaling increasing upward momentum. The diminishing negative histogram bars further indicate weakening bearish pressure. A move above the zero line could further confirm the uptrend.
The price is nearing the upper Bollinger Band around $89,000, representing the next short-term resistance. A breakout above this level could push Bitcoin towards $91,000 and potentially $95,000.
Meanwhile, the RSI is standing at 51, leaving room for further price expansion.
Earlier this week, popular crypto analyst Niels predicted that Bitcoin is highly likely to reach a new peak by April or May. He pointed out that the M2 money supply has hit a new all-time high.
Historically, whenever the M2 supply has made new highs, Bitcoin has followed with a fresh ATH within 2-3 months.
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A crypto journalist with over 5 years of experience in the industry, Parth has worked with major media outlets in the crypto and finance world, gathering experience and expertise in the space after surviving bear and bull markets over the years. Parth is also an author of 4 self-published books.