Bitcoin (BTC) Add $2.5 Billion in 36 Hours, Bitmain to Bolster Network

Dalmas Ngetich

1 year ago

2 mins read

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Bitcoin prices up three percent
Bitmain plans boost the network’s hash rate
Transaction volumes low but could surge once prices are above $4,200

Unexpectedly, Bitcoin (BTC) prices found support at Mar 5 highs as bulls flew back. This revival coincides with news of Bitmain plans of deploying 200,000 units as they plan to take advantage of low electricity cost during this summer.

Bitcoin Price Analysis

Fundamentals

Well, after fears of a possible collapse were allayed in the Asian session when prices bounced off $3,900. With apprehensive bulls, Bitcoin had a bulwark with the news that Bitmain plans to unleash 200,000 units of their new AntMiner S11 and S15 as they take advantage of low electricity cost in China this summer.

Sources intimate with Bitmain plans told CoinDesk that “Bitmain has already started discussions and making deals with farms to host its equipment so that it can be fully prepared.” Their decision to scale up their mining activities despite current low Bitcoin prices will translate to a possible low side monthly profit of $7.7 million thanks to a drop of electricity costs from $0.06 to $0.037 during May’s rainy season according to data compiled by f2pool, the world’s third-largest mining pool.

At the same time, the network’s hash-rate will be bolstered by around 7.9 percent due to the injection of additional computing power.

Candlestick Arrangement

After retesting the $3,800 mark, there have been a sharp turn off the 20-day MA and Bitcoin (BTC) prices are up three percent in the last day.

Prices are now back to green and with all-around excitement, today’s bar will most likely close as a bull. That means we shall have a three-bar bull reversal pattern off our breakout level at $3,800. However, while bullish as it is, the best approach is to wait for a firm break above recent accumulation.

As a result, aggressive traders should ramp up once prices edge past $4,200 or Mar 16 highs with high volumes above Mar 5. Such a move confirms the double bar bull reversal pattern of Mar 5-6 shall subsequently trigger demand with immediate targets at $4, 500—our main resistance level.

Technical Indicators

Although participation levels don’t reflect today’s wide trade range, what we do have is a three-bar bull reversal pattern off Mar 5 highs. If anything, that is bullish and accompanying today’s bar are high volumes that are most likely above those of Mar 25 but lower than Mar 5 and 21. Therefore, the best course of action is to wait for a break above $4,200. The breakout bar volumes must be above 10k of Mar 5.

Chart courtesy of Trading View

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.