Bitcoin [BTC] has had significant difficulty holding on to $60,000. In fact, BTC has breached this key level daily for the past five days, with $59,000 acting as support.
At the time of writing, Bitcoin was trading at $60,352, after a slight decline of 0.19% on the daily charts. With BTC barely holding $60,000, whales have taken the opportunity to accumulate.
Bitcoin whale raises $81 million in BTC
Bitcoin whale activity has increased significantly over the past week, coinciding with the market’s prolonged weakness.
CryptoQuant’s Spot Average Order Size data shows that large whale orders have been placed over the past week. This implied that whales have been extremely active in the spot market, both buying and selling.
Whale orders have consistently appeared at the $59,000 and $60,000 price levels over the past five days. This makes this price range an important whaling zone. Therefore, it appears that these whales have been actively buying at this price level. It is striking that Exchange Netflow has only become positive once in the past three weeks.
Over the past three days, Bitcoin Netflow has remained negative, currently around -125 BTC. A sustained period of negative Netflow indicates that active traders on the ground are mainly buying. This confirms that whales have bought.
Lookonchain reported such a whale. According to the on-chain monitor, a new one has been created wallet withdrawn 1,350 BTC worth $81.87 million from Binance.
With the whale deploying such enormous capital during this period of weakness, this is a major sign of growing optimism. For the investor, BTC may have already bottomed out and is likely to recover in the near term.
Is Demand Enough to Boost BTC?
Although whales have increased their capital deployment in recent days, the market has yet to respond positively. As the market structure remains weak, with bearish dominance, momentum indicators still point to increased downward momentum.
At the time of writing, Bitcoin’s SMI MFT remained negative, with an SMI of -43. When this indicator is deep in the negative zone, it shows bearish momentum dominance.
Therefore, sellers have complete control over the market. Often such a momentum setup has preceded a prolonged price decline.
So if the momentum continues, BTC will continue to struggle between $59,000 and $61,000. However, if whale demand finally materializes, it could push BTC to $64,500, paving the way for a marked recovery.
Final summary
- Bought a newly made whale wallet 1,350 BTC worth $81.87 million on Binance.
- The Bitcoin [BTC] The market remains relatively weak and the bears are still under control, resulting in insufficient demand for whales.