Strategy Buys 520 BTC as Bitcoin Cycle Momentum Stays Below Zero
Bitcoin rebounded above $64,000 after renewed buying from Strategy and a fresh wave of short liquidations, but a closely watched cycle indicator suggests the broader bear-market structure has yet to be fully reversed.
Summary:
- Bitcoin traded near $64,600 after reclaiming key moving averages.
- Strategy added 520 BTC and increased its cash reserve to $1.4 billion.
- Bitcoin Cycle Momentum remains below the neutral zero level.
- More than $237 million in crypto positions were liquidated over the past 24 hours, led by short sellers.
The latest Bitcoin Cycle Momentum reading remains below its neutral threshold, signaling that long-term trend confirmation has not yet materialized despite improving price action and continued corporate accumulation.
Strategy Continues Accumulation
Bitcoin received additional support after Strategy disclosed the purchase of 520 BTC for approximately $35 million, increasing its total holdings to 847,363 BTC.
The company also boosted its U.S. dollar reserve by $300 million to $1.4 billion, reinforcing liquidity available to support its digital credit products and future capital allocation strategy.
The announcement underscores continued conviction among some of Bitcoin’s largest corporate holders despite ongoing uncertainty across risk assets.
Strategy has increased its USD Reserve by $300 million to $1.4 billion and plans to continue replenishing it to support the credit quality of its Digital Credit securities. We also acquired 520 BTC for $35 million, increasing our $BTC Reserve to ₿847,363. $MSTR $STRC…
— Michael Saylor (@saylor) June 22, 2026
Cycle Indicator Signals Bear Market Conditions Persist
While price has stabilized, longer-term on-chain signals remain less constructive.
According to Bitcoin Cycle Momentum data from CryptoQuant, the indicator remains below the neutral zero line, a level historically associated with transitions from bear-market conditions into sustained bull-market expansions.
The metric has fallen into the -30 region, an area that has historically coincided with major cyclical bottoms and long-term support zones. Previous market cycles have often established durable lows after reaching similar readings.
However, analysts note that entering the historical bottoming zone alone is not sufficient to confirm a trend reversal. Confirmation would require both continued price strength and a decisive move by the indicator back above neutral territory.Until then, the data suggests Bitcoin remains in a broader consolidation phase rather than a confirmed new bull cycle.
The Bitcoin Cycle Momentum indicator is not merely a price-tracking tool; it functions as a gauge of ‘investor exhaustion.’ When the indicator dwells in the -30 region, it historically captures the capitulation phase – where the ‘weak hands’ have exited and the cost-basis for long-term holders becomes the primary support.
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However, reaching this zone is only half the battle. In previous cycles, the transition from this ‘bottoming’ phase to a sustained bull market was marked by a specific shift: a ‘higher-high’ in the momentum indicator alongside a consolidation of price. Without a clear pivot back toward the zero line, we are currently observing a ‘reactive’ market rather than a ‘proactive’ one, suggesting that institutional accumulation is acting as a floor, but not yet a catalyst for a new parabolic run.
Liquidations Fuel Short-Term Rebound
Derivatives markets experienced another wave of volatility over the past 24 hours.
CoinGlass data showed approximately $237.9 million in total liquidations, including more than $120 million in short positions. Bitcoin accounted for the largest share of liquidated positions, followed by Ethereum.
The imbalance between long and short liquidations helped fuel Bitcoin’s advance toward the upper end of its recent trading range, as bearish positions were forced to close into rising prices.
More than 70,000 traders were liquidated across crypto markets during the period, highlighting elevated leverage and persistent uncertainty among speculative participants.
Technical Structure Improves
From a market structure perspective, Bitcoin has reclaimed its major short-term moving averages.
The asset is trading above its 20-period, 50-period, 100-period and 200-period moving averages on intraday timeframes, suggesting buyers have regained near-term control following several weeks of consolidation.
Momentum indicators have also improved, with the Relative Strength Index climbing toward 67, approaching overbought territory but still below extreme levels typically associated with exhaustion.
The move places immediate focus on resistance near the recent highs around $65,000, while support remains clustered around the $64,000 area where several key moving averages now converge.
Bottoming Signals Emerge, Confirmation Still Needed
The divergence between improving price action and subdued cycle momentum highlights the current market debate.
Bullish investors point to continued corporate accumulation, historically low long-term holder selling activity and improving technical conditions as evidence that Bitcoin may be building a cyclical bottom.
More cautious analysts argue that broader confirmation remains absent until long-term momentum indicators recover and institutional demand shows more consistent strength.
For now, Bitcoin appears caught between two competing narratives: short-term resilience supported by corporate buying and liquidations, and longer-term indicators that suggest the market has not yet fully exited its corrective phase.
Whether the latest rebound marks the beginning of a new uptrend or another rally within a broader consolidation cycle will likely depend on whether momentum indicators can follow price higher in the weeks ahead.
The information presented in this article is intended for informational purposes only and should not be interpreted as financial, investment, or trading advice. Coinspress.com does not promote or advocate for any particular investment strategy, asset, or cryptocurrency project. Cryptocurrency markets are highly volatile and unpredictable – always perform your own research and seek guidance from a qualified financial professional before making any investment decisions.
Alexander Zdravkov
Reporter at CoinsPress
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
