Bitcoin Eyes $78K Retest as US Delays Strategic Reserve
1min read Bitcoin traders are eyeing a potential retest of the $78,000 BTC price level as the US is seen delaying its strategic reserve plans. The cryptocurrency retreated from above $90,000 at the March 5 Wall Street open, reflecting mixed signals over the US strategic reserve.
Geopolitical events, including US trade tariffs and the strategic reserve, maintained a firm grip on market performance, with stocks and crypto sensitive to developments. Earlier on March 5, US Commerce Secretary Howard Lutnick implied that a separate Bitcoin-only stockpile would be announced at the White House Crypto Summit on March 7. However, Wyoming Senator Cynthia Lummis, author of the Bitcoin reserve bill from 2024, acknowledged that there was a lack of Congressional support for the idea.
Crypto market commentators sought to preserve optimism on the concept, suggesting that it was a matter of "not 'if,' but 'when.'" Professional Capital Management founder and CEO Anthony Pompliano argued that the US would not fumble the opportunity to establish a Strategic Bitcoin Reserve, given the smart people involved in the discussions.
Summarizing the current trading environment, popular trader Jelle hoped for a resumption of upward momentum after an initial sell-off at the start of the US trading session. Trader and analyst Rekt Capital hoped that the March 4 dip to $82,000 would mark a "higher low" and form a foundation for an ongoing recovery. However, others were conflicted, with some expecting a rematch with 15-week lows of $78,000. Justin Bennett warned that "bulls are on borrowed time."
