Bitcoin Price Holds Firm as $626M ETF Surge Fuels Market Optimism -

The bitcoin price has climbed past the important level of support due to ETF flows approaching $626 million.
PowerCompute renewed its debt obligation amounting to $18 million by mortgaging 307 bitcoins at reduced initial rates.
The bitcoin price was moving above critical moving averages as market sentiment was at Extreme Fear.

The bitcoin price held above critical levels of technical support due to continuous investment in institutional products such as ETFs listed on U.S. spot exchanges and mining firm PowerCompute’s Nasdaq-listing which completed a debt financing of $18 million backed by its Bitcoin reserves.

Bitcoin Price Holds Above Technical Support

Bitcoin price was trading at $64,553.68, marking a 0.84% increase from the price in the preceding 24 hours. Over the period, there were intraday fluctuations in the price of the asset before it stabilized above $64,550. Its market capitalization stood at $1.29 trillion, while 24-hour trading volume declined.

On the four-hour chart, Bitcoin traded near $64,524, posting a 0.34% session decline. While the correction took place, the asset was trading above the 20-period SMA at $63,958, showing that the near-term trend still held the key support area.

The Bollinger Bands displayed that the upper one was placed at $65,169 and the lower one was set at $62,746. This shows that volatility was high for the moment. Fibonacci retracement levels revealed that the closest support was seen at $64,200, with resistance between $64,750 and $65,000.

Source: Trading View

Moreover, additional moving averages acted as a support for the price. Bitcoin was holding above the 20-day EMA at $64,101, 50-day EMA at $63,918, 100-day EMA at $63,963 and 200-day EMA at $64,048. These values formed a cluster between $63,900 and $64,100, providing technical support.

Additionally, the Relative Strength Index (RSI) value was 58.22, while the signal line was located at 58.50.

Key technical levels

The support zone remained between $63,900 and $64,200.
Immediate resistance appeared between $64,750 and $65,000.
Bitcoin continued trading above its major short-term moving averages.

PowerCompute Replaces Existing Loans With Bitcoin-Backed Facility

PowerCompute completed a refinancing transaction by consolidating three existing debt facilities totaling $18 million into a new Bitcoin-backed credit facility provided by Arch Lending.

To secure the agreement, the company pledged 307 Bitcoin from its treasury as collateral. The refinancing followed an initial bridge loan arranged with Arch Lending on July 27 before the new facility became effective on Monday.

The transaction replaced three previous obligations consisting of:

An $11 million loan from Galaxy Digital.
A $5 million loan from SE and AJ Liebel used to acquire a 15-megawatt facility in Oklahoma.
A separate $2 million loan from AJ Liebel used to purchase an 11-megawatt facility in Mississippi.

The new financing begins with an interest rate of approximately 2% APR, compared with 12% charged on the two Liebel loans totaling $7 million. The interest rate will reset every 30 days based on prevailing market conditions.

Under the agreement, PowerCompute retains exposure to its Bitcoin holdings. However, the company may need to provide additional collateral if Bitcoin price declines during the loan period.

Bitcoin Price Supported by Continued ETF Demand

Institutional investment remained active as U.S.-listed spot Bitcoin ETFs attracted $244.4 million in net inflows on Wednesday.

The latest figures extended total inflows for the first three trading sessions of August to $626 million, according to SoSoValue data.

BlackRock’s iShares Bitcoin Trust (IBIT) accounted for the largest share of those investments, adding $479 million across the three-session period. According to Farside Investors data, cumulative net inflows into the fund approached $61 billion.

Bitcoin briefly traded above $64,920 during Wednesday’s session before changing hands at $64,744.53, representing a 0.7% daily increase at publication.

The Crypto Fear & Greed Index registered a reading of 25, down from 27 a day earlier, leaving market sentiment within the Extreme Fear category.

Elsewhere, U.S. spot Ether ETFs recorded $60.9 million in net inflows, extending their two-day total to $114.6 million. In contrast, XRP ETFs posted $3.58 million in net outflows, reducing total net assets to $993.4 million, while cumulative net inflows remained at $1.51 billion.