seems linked to a correction as the whales begin to sell off their holdings.
Key points to remember
- Bitcoin’s bullish trend appears to be reaching exhaustion.
- The whales sold in anticipation of a pullback.
- The resistance level of $ 45,230 to $ 46,560 will decide where BTC goes next.
The chain measures saw an increase in profit taking behind Bitcoin following an impressive bullish rally. If sell orders continue to pile up, BTC could be on the verge of retracing.
Bitcoin Whale Book Profits
Bitcoin could be due to a big correction.
The main crypto asset has made significant gains over the past three weeks, gaining 17,000 points in market value. Bitcoin has seen its price rise by 57%, from a low of $ 29,800 on July 21 to a recent high of $ 46,800. Now, investors seem to have started to make a profit.
The behavior analysis platform Santiment reveals that addresses with 100 to 10,000 BTC have significantly reduced their holdings. In the past four days alone, these whales have sold over 40,000 BTC, worth around $ 2.07 billion.
The sudden spike in profit taking comes at a time when Bitcoin is struggling to break through a significant resistance barrier.
IntoTheBlock’s In / Out of the Money Around Price (IOMAP) model shows that the supply zone between $ 45,230 and $ 46,560 has kept Bitcoin from advancing further. Around this price point, nearly 660,000 addresses have already purchased more than 440,000 BTC.
Holders in the $ 45,230 to $ 46,560 range who have been underwater may try to balance their positions, slowing the uptrend. If this selling pressure continues, Bitcoin could turn around.
The IOMAP reveals that the top-ranked cryptocurrency could find support between $ 42,500 and $ 43,850 if corrected. This level of support could prevent prices from falling, as 170,000 addresses bought over 400,000 BTC here. But breaking this demand wall could lead to a drop towards $ 40,300.
Investors who remain bullish despite the appearance of sell signals should pay close attention to the resistance level of $ 45,230 to $ 46,560. A decisive move above this supply area could see Bitcoin heading to the next area of interest between $ 49,300 and $ 50,700.