Bitcoin (BTC)’s recovery has gathered pace as it reclaimed $90,000 after rebounding from a low of $81,947. The flagship cryptocurrency is up over 8% and is trading around $90,100 as bulls attempt to build momentum and push towards $95,000. Markets began recovering after Commerce Secretary Howard Lutnick reportedly stated Trump could roll back tariffs against Canada and Mexico, with an announcement likely on March 5. South Korea May Approve Bitcoin ETFs South Korea’s financial regulators are monitoring Japan’s moves towards approving Bitcoin ETFs. Some reports have suggested Seoul may follow Tokyo if it takes further action and approves the ETFs. South Korea’s Financial Services Commission (FSC) has discussed approving the ETFs but maintains a cautious stance towards crypto. However, recent developments in Japan could change their conservative approach towards crypto. The Japanese Financial Services Agency (FSA) is considering reclassifying cryptocurrency as an investment tool and approving Bitcoin ETFs. The shift in stance has caught the attention of South Korean regulators. The FSA plans to implement new regulations by June, setting the stage for further legislative changes by 2025 or 2026. Bitcoin Open Interest Hits Six-Month Low Bitcoin’s open interest has hit a six-month low, a level last seen when BTC traded between $50,000 and $60,000 before surging towards $100,000. One analyst has pointed out that this pattern has previously signaled market bottoms, indicating Bitcoin could be ready for a comeback. “Bitcoin's open interest crashes to 6-month low! But here's the thing: the last time this happened, BTC rallied to $100k! Is history about to repeat itself?” BTC’s funding rate has also dipped into negative territory, an indicator that typically precedes a strong upward push. The RSI is also below the neutral zone, indicating BTC could rebound. However, BTC must reclaim key resistance levels before a bullish reversal can be confirmed. “If You Missed It: The $BTC RSI is below 30, which indicates BTC is significantly oversold! The last time we went below a 30 RSI was early August when BTC hit a bottom of $50k before soaring over 115% and smashing a new all-time high!” Trump Crypto Plan And Market Uncertainty Fueling Volatility BTC’s weekend jump was driven by Donald Trump’s announcement of a crypto strategic reserve that would hold XRP, SOL, and ADA. The brief exclusion of BTC and ETH sparked confusion and panic before Trump confirmed their inclusion in a follow-up post, boosting prices. However, the rally lost momentum due to several factors, including criticism from the industry about the inclusion of assets besides BTC , dampening the initial euphoria around the announcement. Macroeconomic uncertainty and tariffs against Canada, Mexico, and China triggered a broader risk-off move, leading to a substantial decline on Monday. El Salvador Adds To BTC Reserve El Salvador had added 1 BTC to its Bitcoin reserve, taking its total holdings to 6,101.18 BTC , valued at $527 million. The acquisition reinforces President Nayib Bukele’s commitment to strengthen El Salvador’s Bitcoin strategy. The country’s National Bitcoin Office confirmed the purchase on March 4. The move aligns with El Salvador’s “1 BTC a day” accumulation strategy aimed at economic diversification and acting as a hedge against inflation. It also indicates El Salvador’s confidence in BTC despite recent volatility. The country’s latest acquisition comes as it adjusts its Bitcoin policies to align with the $1.4 billion loan agreement with the International Monetary Fund (IMF). El Salvador recently modified its Bitcoin law, making its use voluntary instead of mandatory. Despite the adjustment, El Salvador continues to bolster its Bitcoin reserves. The country has added 46 BTC worth $3.97 million in the past 30 days. Bitcoin (BTC) Price Analysis Bitcoin (BTC) has rebounded over the past couple of sessions as it looks to rebound from Monday’s crash. The flagship cryptocurrency is up over 7% in the past 24 hours, rebounding from a low of $81,485 to briefly cross $90,000 before settling at its current level. BTC faces resistance at $90,000 and $92,000, with sellers preventing a push higher. BTC traded in the red for most of the previous week, starting with a drop of nearly 5% on Monday. BTC continued to drop on Tuesday as it slipped below $90,000 on its way to an intraday low of $85,985. The price recovered from this level but could not reclaim $90,000, ultimately settling at $88,654 after a drop of 3.24%. BTC continued to decline on Wednesday, dropping over 5% to $84,129 as selling pressure intensified. BTC recovered on Thursday despite the overwhelming bearish sentiment, reaching an intraday high of $87,045 before settling at $84,657 after a marginal increase. Source: TradingView The price plunged below $80,000 and the 200-day SMA on Friday, falling to a low of $78,179. However, it recovered from this level to reclaim $80,000 and cross the 200-day SMA to settle at $84,362, registering a marginal decline. BTC recovered on Saturday, rising over 2% and settling at $86,182. Bullish sentiment intensified on Saturday following Donald Trump’s announcement about the strategic reserve. As a result, BTC surged over 9% to reclaim $90,000 and move past the 20-day SMA to settle at $94,322. However, the rally was short-lived as prices crashed on Monday, with BTC dropping 8.61% to $86,201. The price plunged to an intraday low of $81,485 on Tuesday as selling pressure intensified. However, it rebounded from this level to register an increase of nearly 2% and settle at $87,300. The current session sees BTC up over 1% and trading at $88,364 after briefly crossing $90,000 and reaching a high of $90,980. The RSI is below the neutral zone but pointing upwards, indicating a waning bearish sentiment. The MACD also suggests bears are weakening. If BTC reclaims and consolidates above $90,000, it could indicate a change in sentiment. If BTC can settle above the 20-day SMA, it could open the door for a retest of $100,000. On the other hand, if the price drops below $85,000, we could see a decline to $80,000. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
