As a seasoned analyst with over two decades of experience in the financial markets, I must say that the recent movements of Bitcoin have caught my attention. The data presented by Santiment and IntoTheBlock is concerning, to say the least. A whopping $1.83 billion worth of BTC being sold or redistributed within 72 hours is a clear sign of potential selling pressure building up.
At present, Bitcoin is holding slightly above a crucial support point. A small sale initiated by traders might escalate into significant selling activity due to its contagious nature. The precarious condition is highlighted by findings from Santiment, an analytics firm specializing in blockchain data, which shows that around 30,000 Bitcoins, equivalent to roughly $1.83 billion, have been moved to cryptocurrency exchanges recently. Clearly, such a large quantity of Bitcoin being transferred to exchanges raises concerns, particularly when considering the future prospects for the digital currency.
30,000 BTC Sold In 72 Hours
Based on data from Santiment and analysis by crypto expert Ali Martinez, it’s been estimated that approximately 30,000 Bitcoins, which is around $1.83 billion at current prices, have been sold or redistributed among Bitcoin addresses holding between 1,000 BTC and 10,000 BTC over the past three days.
In the last three days, significant Bitcoin holders (known as “whales”) have either offloaded or distributed approximately 30,000 Bitcoins, which equates to a staggering $1.83 billion!
— Ali (@ali_charts) October 10, 2024
On October 8, approximately 18,220 Bitcoin were transferred to exchanges, a figure that increased to around 16,000 Bitcoin on October 9, and about 13,800 Bitcoin on October 10, according to data from IntoTheBlock that monitors various holder groups’ activities.
When large amounts of Bitcoin move into exchanges, it may indicate that investors are planning to sell, as this increased exchange flow can sometimes precede a selloff. This persistent exchange activity might be an indicator of growing selling pressure, suggesting that traders could be gearing up to offload their Bitcoin holdings in the coming days.
Bitcoin Under Increased Selling Pressure?
In a more optimistic perspective, the recent Bitcoin sales are mainly instigated by short-term investors, resulting in a transfer of ownership. Long-term investors, who see this downturn as a chance, are buying up these Bitcoins to enhance their holdings. This change in ownership may bring stability to the market since long-term investors usually do not plan on selling in the future.
As an analyst, I’ve noticed a significant pattern in the data: The daily inflow of Bitcoin into exchanges appears to be decreasing progressively. This trend suggests that fewer individuals are transferring their Bitcoins to exchange accounts, potentially implying that the current selling spree might be starting to subside.
Based on CryptoQuant’s data, the amount of Bitcoin held in exchange wallets has been gradually decreasing since October’s start. Contrary to concerns about ongoing selloffs, this decrease suggests that fewer Bitcoins are accessible for sale on exchanges. If this trend persists, it might lessen selling pressure and offer a more hopeful perspective for a quick Bitcoin recovery in the near future.
As I type this, Bitcoin is being bought and sold for approximately $60,854, setting a lower price boundary close to $60,000.
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2024-10-12 01:36