Bitcoin has been consolidating in a narrow range between its historic high (123,000) and $115,000, which is keeping both bulls and the bears at heightened alert. The recent rise in price has been tempered, but bulls have held strong above important levels. Market participants, however, are becoming more wary of the possibility of a possible correction.
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The resurfacing an old Satoshi whale adds to the unpredictability. Darkfost is a top analyst who has been following this long-dormant account, which transferred 80,000 BTC recently to Galaxy Digital. Galaxy Digital is a leading player in the digital asset and AI infrastructure space. This move immediately caused speculation in the crypto-space, since large transfers like this are usually associated with sales.
This transfer’s timing is critical. The timing of this transfer is crucial. It occurs at a time when there are increased inflows into the exchange and increasing discussions on institutional profit taking. The market is already fragile, and the risk that some of the massive profits made by institutions could be redirected to the markets would only make matters worse. BTC Investors and analysts are bracing up for increased volatility as a result of the possibility that stack could be purchased.
Whale starts selling: Binance receives 1,500 BTC
Darkfost has confirmed Galaxy Digital just transferred 1,500 BTC from a Binance address to another. These coins previously formed part of an 80,000 BTC stash linked to Satoshi era whales who have recently reactivated wallets. This latest transfer indicates that part of the historic collection is now officially for sale.
The 1,500 BTC is worth around $180m at current market prices. This is one of fastest and largest offloads recorded, with 80K BTC worth $9.54 Billion. Although they only transferred a tiny fraction to exchanges, this sale may signal bigger intentions.
This transfer is seen by some as an early warning, particularly given that the consolidation currently exceeds $115K. According to them, a high volume of activity by a long term holder could be a sign that there will be a correction or further profits. Other investors, however, think it’s an excellent and smart move made by an investor that has been holding Bitcoin since its earliest days, and who is finally seeing some profits.
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BTC price holds tight range after ATH
Bitcoin currently trades at $118,000 and is consolidating in a narrow range of $115,730 to $123,230 as can be seen on the chart for 12 hours. The move comes on the heels of a recent strong break out that took BTC up to an all-time record price. Price action since then has shown some signs of cooling, without any major pullbacks, which suggests bulls are still in charge, although short-term momentum slows.
BTC’s chart shows an attractive structure. It is currently trading at a level well above its simple moving averages of 50, 100, and 200 days, respectively, $111 819, $108, 563, and $102, 963. The strong support for the trend is confirmed by long-term investors and momentum traders.
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Volume increased as the price moved higher. This indicates that the breakout was backed by conviction. However, in the final few candles, volume decreased, which is consistent with consolidation. BTC could continue to rise if the price stays above $115.730. The structure is bullish, and it may lead to a breakout in the direction of $130,000. A break below this level, however, could open the door for a deeper retracement, with the $112Kâ$111K zone acting as key moving average support.
Chart from TradingView, Featured Image from Dall E
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Source: www.newsbtc.com
