Bitcoin Tops $66K Amid Global IT Outage Impacting Major Corporations
By: Isha Das
The recent surge in Bitcoin's price has captured the attention of the global crypto community. After a dip to a six-month low of $53,500 earlier in July, Bitcoin swiftly recovered to surpass the $66,000 mark, positioning itself to potentially retest its all-time high of $73,700 set in March. The resurgence of Bitcoin comes against the backdrop of a significant global information technology (IT) outage that affected major airlines, medical facilities, corporations, and police forces, largely due to issues with Microsoft's cloud computing services.
Bitcoin's Resilience Amid IT Outages
Cybersecurity firm CrowdStrike highlighted that the outages were the result of a 'routine software update' that malfunctioned. The incident was not a security breach or cyberattack, and CrowdStrike promptly issued a corrective software update. However, some systems required manual interventions, leading to further delays. Microsoft reported recovery of its 365 apps and services, although some users might still experience residual impacts.
Interestingly, despite the chaos, cryptocurrency prices largely remained stable. U.S. Senator Cynthia Lummis, known for her pro-crypto stance, emphasized this stability. She noted on social media that Bitcoin remained unaffected by the cyber disruptions, reinforcing its perceived reliability.
Speculations about Bitcoin's potential role as a strategic reserve asset for the U.S. have been intensifying. This speculation is further fueled by the upcoming address by former President Donald Trump in Nashville, where he might highlight Bitcoin as crucial to the U.S. economy, potentially propelling its price even higher.
Analysts Spot Sell Signal
Crypto analyst Ali Martinez has detected a potential sell signal for Bitcoin on the daily chart, generated by the TD Sequential indicator. However, Martinez suggests that this signal could be invalidated if Bitcoin manages to close above $67,500. As of now, Bitcoin stands at $66,666, reflecting a 5% increase over the past 24 hours and a 16% rise over the past week.
To sustain its upward momentum, Bitcoin must close above the identified level to avoid a correction on its path to the anticipated $70,000 milestone. The cryptocurrency might face resistance at several price points, including $67,600, $68,380, and $69,700. On the flip side, it can find support at its 200-day exponential moving average (EMA), currently at $62,600, which is often regarded as a robust support level.
