Bitcoin Dips to $64.5K as Strategy Selling Fears Resurface
Bitcoin fell to a weekly low of $64,500 amid renewed concerns that Strategy may sell more BTC, ahead of the FOMC meeting.
Bitcoin briefly touched $64,500 on Wednesday, marking a week-to-date low, as market participants focused on potential selling pressure from Strategy, the corporate bitcoin holder formerly known as MicroStrategy.
According to analysts, concerns stem from Strategy's recent capital-raising activities which could lead to future bitcoin sales to fund acquisitions or operations. The company has been a major buyer of bitcoin in the past, but any shift to selling could weigh on prices.
The price drop also came ahead of the Federal Reserve's Federal Open Market Committee (FOMC) meeting, where interest rate decisions are expected. Macroeconomic uncertainty often adds volatility to risk assets like bitcoin.
At the time of writing, bitcoin has recovered slightly to around $65,000, but traders remain cautious. The $64,500 level is seen as a key support in the short term.