The price of Bitcoin (BTC) suffered a significant loss on Friday as prices dipped below $102,000 marking the end of a rather turbulent trading week. As the global financial markets weathered major losses, Bitcoin made no new price discovery, casting more speculations over the bull market.

Critical Price Level Emerges At $98,000 For Bitcoin

Despite an overall positive performance in January, Bitcoin has struggled to confirm the bull run continuation with its all-time high price increasing by merely 0.6%.

As market investors remain confident of more price gains, blockchain analytics firm Glassnode has highlighted a price level that might prove pivotal to Bitcoin’s current bullish setup. In a new post on X, Glassnode shares that market participants have traded a substantial volume of BTC between the price range of $94,000 – $101,000 over the last 45 days.

As a result of this development, there is currently a dense supply cluster forming around the $98,000 price zone indicating a significant amount of investors are acquiring BTC near this price zone. Historically, price areas of high accumulation activity are considered important as they tend to serve as strong support in market downturns and act as resistance during price rallies.

Therefore, if Bitcoin consolidates above $98,000 for an extended period, this price zone could form a sturdy floor, offering support for further rallies in the current bullish structure. However, a fall below this price level could convert it into a strong resistance zone as investors may aim to sell to recoup losses. 

In terms of immediate price movement, if Bitcoin bulls can hold above $98,000 with sufficient buying pressure, the asset could make a return to the $106,000 price region which currently represents a strong psychological resistance zone. On the other hand, if sellers overpower demand at the $98,000 price level, Bitcoin is subject to further decline with a possible retest at $92,000 on the table.

BTC Records Nearly $450 Million In Exchange Outflows

In other developments, the Bitcoin market registered $442 million in exchange outflows over the past week. According to more data from IntoTheBlock, a net outflow of $70 million was reached as exchange inflows stood at $372 million.

Generally, higher exchange outflows than inflows is a bullish development indicating investors are less interested in selling and are moving their assets to private wallets in expectation of a price gain. At press time, BTC trades at $102,269 after a 1.94% decline in the past day. Meanwhile, the asset’s daily trading volume is down by 12.58% and valued at $44.44 billion.

Featured image from Depositphotos, chart from Tradingview 

Norges Bank Investment Management (NBIM), Norway’s sovereign wealth fund giant, has been discreetly increasing its Bitcoin exposure—with a unique twist.

They have strategically increased their indirect holdings by 153% by placing a shrewd wager on MicroStrategy, rather than rushing headfirst into the volatile crypto market.

By the conclusion of 2024, NBIM had acquired approximately $500 million in MicroStrategy, which amounted to more than 1.1 million shares.

Norway is able to pursue the potential advantages of Bitcoin without the discomfort of direct crypto ownership, thanks to this clever strategy.

Betting On Bitcoin—Without Purchasing A Single Coin

The most important point is Norway’s fund does not actively participate in Bitcoin. Instead, they are using MicroStrategy’s significant BTC holdings—akin to investing in a gold rush shovel manufacturer instead of digging for gold alone.

🇳🇴 Norway’s Bold Crypto Move!

💰 $500M Investment: Norway’s sovereign fund acquires 1.123M shares in MicroStrategy

📈 Bitcoin Exposure: Holdings surge 153% in 2024, now at 3,821 BTC

🌍 Global Positioning: Now among the largest institutional Bitcoin holders

🔄 Strategic Shift:… pic.twitter.com/GRKJ3KVadL

— MoneyDubai (@MoneyDubai_ae) January 30, 2025

Maintaining MicroStrategy shares helps NBIM avoid the problems related to cryptocurrencies: no regulatory gray areas, custody issues, or restless nights brought on by market swings.

And it’s paying off; their indirect crypto exposure rose from about 1,506 BTC to 3,821 BTC at year’s end. Not bad for a fund officially free of cryptocurrencies.

Norway’s indirect exposure to Bitcoin has almost tripled over the past year, as a result of increased allocations to crypto-related firms, according to K33 Research.

The Norwegian sovereign wealth fund (NBIM) indirectly holds 3,821 BTC, reflecting an increase of 1,375 BTC since June 30, 2024, and a yearly growth of 2,314 BTC—a 153% increase compared to its end-of-year 2023 holdings.
It is important to highlight that this exposure likely… pic.twitter.com/seQ12cM2Rn

— Vetle Lunde (@VetleLunde) January 29, 2025

What’s The Rationale Behind MicroStrategy?

Therefore, why do they align themselves with this organization? MicroStrategy has emerged as the embodiment of the corporate Bitcoin craze. Their stock has become a Bitcoin barometer as a result of their aggressive purchasing spree; as BTC increases, so does their share price.

BTCUSD trading at $104,103 on the daily chart: TradingView.com

This implies that Norway’s fund can capitalize on Bitcoin’s potential without experiencing the cryptocurrency market’s volatility. It’s a win-win situation: maintain the stability of conventional investments while gaining a glimpse of the untamed side of crypto through a reputable intermediary.

NBIM's MicroStrategy investment value. Chart: NBIM

Big Money’s Crypto Playbook

This is not solely a Norwegian anomaly; it is a component of a more extensive trend. Institutional investors are gradually becoming more favorable toward cryptocurrency; however, they remain cautious regarding their own possession of digital currencies. Rather, they are employing their imagination. They are entering the crypto waters without entirely immersing themselves by supporting companies such as MicroStrategy.

Eggs In Other Baskets

Apart from MicroStrategy, Norges Bank Investment Management also owns stock in multiple companies that deal with Bitcoin. These include Tokyo-based Metaplanet, cryptocurrency exchange Coinbase, Bitcoin mining companies Marathon Digital and Riot Platforms, and Tesla.

Featured image from Gemini Imagen, chart from TradingView

Hedge fund giant Elliott Management has warned that the White House’s pro-crypto stance fuels an unsustainable market bubble that could cause severe financial disruption when it collapses.

The concern comes amid Donald Trump’s pro-crypto stance, which contributed heavily to his re-election as US President.

Elliott Says Crypto is “Ground Zero” for Speculative Frenzy

The Financial Times reported the hedge funds’ warning, citing a letter to investors. Per the report, Elliott cautioned that the speculative mania surrounding digital assets, as amplified by political support, represents a looming financial risk with unpredictable consequences.

The $70 billion hedge fund, founded by billionaire Paul Singer, criticized the US government’s increasing alignment with cryptocurrencies. Specifically, Elliot argued that such assets lack fundamental value yet have surged due to perceived proximity to the White House.

Against this backdrop, the firm warned that embracing digital assets that could marginalize the US dollar. In their opinion, the global reserve currency is a dangerous policy direction.

According to the investor letter, Elliott has “never seen a market like this.” The firm pointed to the AI-driven stock rally and soaring cryptocurrency prices as evidence that investors are behaving irrationally. It singled out crypto as the epicenter of the speculative surge, describing it as assets with “no substance.”

The hedge fund believes that the crypto industry has grown to dangerous levels due to White House endorsement.

“Crypto is ground zero…could wreak havoc in ways we cannot yet anticipate,” the report stated, citing Elliot.

Elliott’s criticism is notable given Singer’s political connections. Despite being a longtime Republican donor and contributing $56 million to conservative candidates in the 2024 election cycle, Singer has frequently voiced skepticism about cryptocurrencies.

His hedge fund now argues that political support for digital assets, particularly under the Trump administration, has exacerbated reckless speculation.

Beyond policymaking, Trump’s personal and business dealings have deepened his ties to the crypto sector. Alongside his sons and business associates, Trump backed World Liberty Financial (WLFI), a cryptocurrency platform launched last year.

He and the First Lady have also introduced meme coins, TRUMP and MELANIA, respectively, presenting a speculative class of cryptocurrencies with no inherent value. Similarly, Trump Media, where the former president holds a majority stake, also announced plans to invest up to $250 million in crypto. These actions, Elliott warns, have further legitimized speculative behavior in the market.

Additionally, pro-crypto lobbying has surged, with the Fairshake PAC spending $173 million in the 2023-2024 election cycle to support crypto-friendly candidates. The advocacy group has a $116 million war chest for the 2026 midterms.