Analysis: The financing tool STRC has fallen below the $100 par value, and Bitcoin may face correction pressure
According to market news, the financing tool STRC from Strategy, after falling below the $100 par value, may weaken its ability to continuously raise funds to buy Bitcoin through issuing shares, with Bitcoin facing the risk of dropping below $70,000.
Strategy previously disclosed that of the latest purchase of 34,164 Bitcoins, about 86% of the funds came from STRC financing. The report also stated that historically, during the periods when Strategy paused purchases, Bitcoin's average decline was about 30%. Technical analysis shows that if the lower edge of the flag pattern is broken, Bitcoin may drop to the range of $67,000 to $69,000; if it holds above the 20-day and 50-day EMA, the price may still rebound and test the resistance at $78,000.
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