While the crypto bear market continues, the “whales” continue to buy Bitcoin.
A “whale” is a person or entity that owns a large amount of a cryptocurrency. The largest Bitcoin whale, along with other large fish, bought BTC, while the Bitcoin price fell to the important $ 20,000 mark.
At the time of writing this article, the Bitcoin price is still above the psychological mark and the all-time high of the last market cycle ($ 20,000). If this level is broken, further sales could follow.
Bitcoin Whale Activity at Record Levels
The crypto and blockchain analysis company Santiment published a chart on the current activities of whales on June 14, 2022. On this day, the number of BTC-wal transactions reached a new record high and was at the level of May 2021.
At that time, the Bitcoin price crashed and reached a local low at the $ 30,000 mark, before the BTC price then reached the last all-time high in November 2021. The analysis firm wrote that this could be an indication that the $22,000 area is of great interest to the whales.
The Bitfinex whales also increased their long positions. For example, the value of long positions has repeatedly reached a new all-time high in recent weeks, while the number of short positions has reached a new all-time low. So the Bitfinex whales are not currently betting on falling prices, although the crypto market has been in a downtrend for a long time.
Largest Bitcoin Whale Buys After
Source: Tradingview
The non-exchange Bitcoin address with the most BTC (128,800.54 BTC or the equivalent of 2,685,408,658.96 USD dollars) also take the opportunity to continue buying Bitcoin at the $ 20,000 mark. After the owner of the address has sold 500 BTC around the $ 30,000 mark, he will then buy a total of over 1000 BTC on May 14, 15 and 16, 2022, as data from BitInfoCharts shows.
Institutional investors also seem to be betting on rising Bitcoin prices. For example, the “asset managers” recently increased their long positions on the largest futures exchange CME again, after reducing them in mid-March.
Source: Tradingster
Will the $20,000 mark hold?
The $ 20,000 mark is crucial for the Bitcoin price. So far, the BTC price has never fallen below the all-time high of the last market cycle. However, the macroeconomic circumstances are currently different. Since the BTC price correlates strongly with the stock markets and there could be further sell-offs on the stock market, the BTC price could also fall further.
The whales are long-term oriented investors who are already willing to accept price losses. Whales usually buy in a downtrend while selling on the way to the price peaks. So the fact that the whales have been accumulating Bitcoin lately does not necessarily mean that the bottom has already been reached. However, some models and indicators suggest that the Bitcoin price may actually reach the bottom soon.
Experts gave different forecasts about how low the Bitcoin price could still fall. Hex founder Richart Heart and popular trader Peter Brandt, for example, believe that the Bitcoin price could still fall to around $ 13,000. BTC bull Robert Kiyosaki also believes that lower prices are possible. His forecast: the BTC price could fall to $ 20,000, $ 17,000 or even $ 11,000. “The time to get rich is coming. Be careful,” he tweeted.
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