Bitcoin [BTC] saw a strong recovery on May 15, rising 1.55% following positive developments surrounding the Clarity Act Bill.
At the time of writing, BTC was trading at $80,900, up 1.55% in the past 24 hours. Market participation also grew significantly over the same period, with trading volume increasing 25% to $44.82 billion.
The rising trading volume alongside the price of the asset indicates that investors and traders are showing strong interest in the current trend.
Bitcoin attracts heavy whale bets
Crypto transaction tracker data “Onchain lens” reveals that amid this recovery, a whale opened a 700 BTC long position worth $57 million with 10x leverage.
This huge stake reflects the whale’s strong belief in the asset’s potential upside. There is even considerable interest from Wall Street.
Data from the analytics platform “SoSoValueThe research shows that US Spot BTC Exchange Traded Funds (ETFs) recorded net inflows of over $131.31 million, indicating growing confidence and renewed buying interest from institutional investors amid the ongoing market recovery.
Now, these bold whale bets, ETF inflows, and positive developments surrounding the Clarity Act Bill are reinforcing BTC’s bullish outlook.
BTC price action heralds a major battle at $82,700
According to the daily chart on TradingView, BTC’s bullish outlook remains intact as it has regained the key $79,500 level that it lost on May 13. The asset currently appears to be encountering resistance at $82,700, a level that has remained significant since May 6.
Based on current price action, BTC’s upward rally could only continue if it manages to reach the $82,700 level by closing a daily candle above.
If that happens, there is a good chance that the asset will see another price increase of over 7.80% and possibly reach the $89,500 level.
On the other hand, if it fails to break above this level, BTC may continue trading sideways. However, if the price falls back below the $79,500 level, the bullish outlook could weaken significantly as no strong support appears to be visible in the near term.
As of now, the Average Directional Index (ADX) technical indicator is hovering at 30.70, indicating that BTC currently has strong directional momentum.
Data from derivatives analysis platform CoinGlass showed that $80,173 on the downside and $82,298 on the upside were key liquidity levels for BTC.
Traders at these levels have built up $304 million in long leverage positions and $706 million in short leverage positions.
This indicated that the bears were still dominating the market, while the bulls seemed to be losing momentum.
Final summary
- Bitcoin’s upward rally will only be possible if it breaches the USD 82,700 level; otherwise it’s likely to stay sideways.
- Whale’s $57 million long bet and $131.31 million inflow into Spot BTC ETFs indicate growing interest from whales and institutional investors.