Blake Davis

Senior Account Executive and Macro Analyst @BlockwareTeam • Research covered by @Nasdaq @YahooFinance @MktsInsider

[Blake Davis @BlakeDavis50]

With institutional adoption comes institutional trading strategies, here's how I'm looking at current #Bitcoin price action.

If you've studied any technical analysis, you'd know that this chart screams institutional accumulation. If this is new to you, here's a very basic breakdown of how this is likely playing out:

Several institutions have clearly given the order to their trading desk (algos) to accumulate a defined amount of BTC at a given ceiling price. This has been underway to some extent throughout 2023, but with ETF-related news being a bat-signal for retail buying, current PA is seemingly a last ditch effort from many funds to round out a position between $35,000-35,500.

Step 1. Build a base position as quietly as you can (block trades and low volume open market buying)

Step 2. As bid strength from retail and other institutions pushes price into target sell zone, open market sell a % of your position to trigger external selling (aka a shakeout)

Step 3. Buy cheaper sats from profit takers, short sellers and nervous retail

Step 4. Rinse & Repeat

This process continues until the target position size has been accumulated. You then know, as one of the main sources of sell pressure on the asset, price will likely follow through your resistance level if the tape is strong enough and you have secured your targeted cost basis for the seed.

The goal is to accumulate a large position without pushing price too high.

So which institution(s) are creating this price channel?

One obvious answer would be funds looking for directional exposure to an asset primed for strong performance post-Halving and post-FFR cuts. Next, there are clearly a lot of retail buyers here, categorized by relentless spot bidding.

Finally, with ETF rulings pending, it's likely that all of these filers are looking to seed their fund and begin accumulating the asset prior to the ruling. They know that approval will likely attract too much buy pressure to maintain control over price without dumping a significant portion of a position they NEED to own.

In a Spot-ETF, you begin with an initial position and issue shares relative to the size of your position. So, if you were Blackrock, Ark, Fidelity, etc. and knew there's a very high chance you'll need to be holding 1000's of BTC within the next few quarters, would you wait for a ruling to start buying?

Obviously not. If confident in the approval, you would build your position prior, but you can't just go on Coinbase and open market buy 10,000 BTC. That would cause price to skyrocket, ending the window to secure BTC at your target price. So instead, you're going to have an algo manipulate price to secure a target cost basis, same as what occurs in the equity market.

To me, looking at BTC price action says a few things:

1. Institutions strongly believe that ETF approvals are coming
2. Retail investors are piling into BTC
3. Price will likely explode higher after institutions have accumulated their target position size, or ETFs are approved, whichever comes first

Price is coiling sideways, meaning that bid and ask strength is nearing equilibrium. At this rate, the next leg of #Bitcoin price action will likely begin in November. Which direction do you think it will go?

[The White House @WhiteHouse]

EARTHSET.
April 6, 2026.

Humanity, from the other side. First photo from the far side of the Moon. Captured from Orion as Earth dips beyond the lunar horizon. Photo: NASA

[Blake Davis @BlakeDavis50]

Tough market.

[*Walter Bloomberg @DeItaone]

CITADEL LOST 2% LAST WEEK, EXODUSPOINT ERASED YTD GAINS

[Blake Davis @BlakeDavis50]

@GregDuncan_ Btw started using it from this tweet, absolute game changer lol

[Blake Davis @BlakeDavis50]

$FSLY Can't help but notice it was green yesterday and today. RS line at new highs.

[Blake Davis @BlakeDavis50]

Lots of failed breakouts and breakdowns today. $QQQ volume trending +57% to potentially bring distribution day count to 8. Major indexes below their 50D SMAs, VIX at 25, crude at 80, DXY up. Good time to be building a watchlist of names showing RS.

[Blake Davis @BlakeDavis50]

Tough, thin market. With QQQ & SPY below their 50 days + rising distribution day count don’t see any reason to be chasing here.

These flag setups are interesting for those locked out but note volume bars. Might need index support to breakout. cc $AA $NVMI $VSCO etc.

[Blake Davis @BlakeDavis50]

@TCMLLC @CubbieBears 🤣🤣 I’m sure he has the champagne locked and loaded.

[Blake Davis @BlakeDavis50]

Howdy Geoff - I’m personally much more familiar with US tax code but Canadians can certainly run mining businesses through a hosting provider and take advantage of depreciating the equipment.

Shoot me a DM or email [email protected] and I’m happy to help as much as I can.

[Blake Davis @BlakeDavis50]

It’s pretty straight forward, you pay an all-in $/kWh hosting rate monthly that covers opex (electricity, internet, security, day-to-day labor, etc. all wrapped into one charge). ASICs have a manufacturer’s warranty that covers repairs for the first 365 days after they roll off the assembly line.

Shoot me an email at [email protected] and we can find some time to walk you through it all.

[Blake Davis @BlakeDavis50]

@btc__cpa @TalesofTitans1 @Breedlove22 100% - Very easy to hit your hours if you stare at your revenue accumulating on the dashboard 24/7 like I do haha. Just kidding (kinda)

[Blake Davis @BlakeDavis50]

I’m not a CPA but Mining is general categorized under active income because it’s revenue you’re producing as a result of ongoing business activity. Despite having a company that provides the service of managing the physical hardware, you’re still actively participating by paying monthly opex, monitoring performance, buying/selling machines strategically, managing your treasury, etc.

Blockware doesn’t issue formal tax statements, but we do have a referral partnership in place with a tax advisory firm who specializes in BTC and mining (seemingly not something you’d need but a nice resource for many of our other clients).

[Blake Davis @BlakeDavis50]

Hey Adam - Blake from Blockware here. Yes, you can absolutely do this with hosted hardware, assuming that you’re the legal owner of that hardware (as you would be when mining with Blockware) and are running it under a business entity (LLC, sole prop, etc.).

Feel free to shoot me a DM or email [email protected] and we can discuss further.

[Blake Davis @BlakeDavis50]

@bitcoin_dad @Dtrainpatriot @blockware Hey @Dtrainpatriot, Blake from Blockware here. Happy to chat with you about all things mining.

[Blake Davis @BlakeDavis50]

@blockware

[Blake Davis @BlakeDavis50]

Wrapping up an awesome week with the @blockware attending @BitcoinMagazine’s #Bitcoin MENA conference in the UAE 🇦🇪.

Likely impossible to be more bullish than I am on the future of this asset class. An almost unbelievable amount of capital is now honed in on this industry.

[Blake Davis @BlakeDavis50]

@TCMLLC @CubbieBears 🤣🤣🤣

[Bitcoin Magazine @BitcoinMagazine]

@ashergenoot JOIN @BitcoinMagazine & @blockware for a discussion on #Bitcoin mining, macro & the hashrate outlook in 2025! ⚡️

RSVP & TUNE IN 🎧👇
https://t.co/QLRXCVsOYP

[Blake Davis @BlakeDavis50]

@BitcoinBro86 Awesome!

[Bitcoin Bro 🟧 ⛏️ @BitcoinBro86]

Can’t speak highly enough about @blockware @BlockwareIntel @BlakeDavis50 @mitchellaskew and all the help they given me to help get me started on my #Bitcoin mining journey! If you are new to all this like me and are interested, they are definitely your best path to get started!!! #Bitcoin #BitcoinMining