Bitcoin’s price has steadied around $27,000 after numerous failed attempts to march above the psychological resistance level of $30,000. It appears the crypto-asset has entered a consolidation phase. But there may be an opportunity here.
Key whale addresses have been accumulating at a steady rate over the last five weeks as the world’s largest crypto asset hit stagnancy.
- During the period, this cohort of market players – holding between 1K to 10K BTC – accumulated a combined total of 84,897 BTC (worth about $2.3 billion at today’s prices).
- Such a move indicates investors view the recent stagnancy in price movement as an opportunity to acquire more portions of the asset.
- Bitcoin’s price jumped by nearly 35% in January when these whale addresses went into an accumulation mode, according to analytic firm, Santiment.
🐳 #Bitcoin‘s key large whale addresses tier has been on a steady accumulation run over the past 5 weeks, accumulating a combined 84,897 $BTC during this time while prices are stagnant. In their previous accumulation cycle in January, prices jumped +34.4%. https://t.co/fLhCcBOJZA pic.twitter.com/sV43UxGksj
— Santiment (@santimentfeed) May 16, 2023
- K33 had earlier speculated that there’s a chance of BTC peaking at around $45,000, citing the resemblance of its price trajectory to that of its early 2019 surge.
- Halfway through the month already, the largest crypto-asset is yet to break its resistance level of $30,000. Nevertheless, there’s another factor that could potentially serve as a catalyst – the movement of a large number of bitcoins from crypto exchanges.
- Prominent analyst Ali Martinez observed that more than 20,000 BTC have moved off these platforms over the last 24 hours, indicating that market players are anticipating the price to surge.
- While the $45,000 prediction may not transpire this month, as short-term prospects for Bitcoin appear to be bleak, the long-term on-chain indicators, on the other hand, signaled bullish developments and resemble the early stages of the previous bull markets, as noted by Bitfinex’s recent report.
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