Let us review our previous post from a few weeks back, Bitcoin to $200,000 Review.

So far Bitcoin has found support, proving demand is present, price is contained within the red channel lines. The sharp drop is most likely the miners (say the Chinese) selling all their mined coin stock to new hands (say the western financial institutions) on the back of FUD created by Elon Musk with an assist from another ban by Chinese authorities.

POINT: Isn't Elon Musk involved with Crypto mining, hmm, then no wonder the FUD!

This blog believes the transfer of mining dominance away from China to more US investor-friendly zones opens the door to large monies from US institutional investors. We have yet to see a true financial institution lead the crypto bull market, and you can bet they want their turn in the sand box.

Chart 1 - Price holds in the channel, huge support at $30,000

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Chart 2 - If the 2021 correction is a mirror of 2013, then July to August 2021 should be strong demand months for Bitcoin. Of course a strong Bitcoin trend requires US dollar weakness.

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