Bitcoin whale trend suggests a serious sell-off could be imminent
It’s been a rough few days for Bitcoin, with the cryptocurrency experiencing immense selling pressure as bears aim to erase gains that have occurred as a result of the recent uptrend.
The next trend for cryptocurrencies will largely depend on whether or not it maintains its recent break below its $ 17,000 support level.
If the bulls cannot regain this level in the short term, it could mean that a decline towards its multi-week support at $ 16,200 is imminent. If this level breaks, it could deal a serious blow to the technical landscape of the cryptocurrency.
An on-chain analyst points to an unsettling trend that could indicate that a dip is imminent for BTC.
He notes that whales are depositing BTC into exchanges rapidly, which almost always indicates that a surge of pressure is imminent from the sell side.
Until the trading activity between these big Bitcoin investors shuts down, you conclude that you will either see sideways trade or slide down.
This comes as investors are already nervous, with mounting regulatory concerns and the recent rejection of $ 19,500, both surprising blows to its underlying strength.
Bitcoin struggles to gain momentum as bears take over
At the time of writing, Bitcoin is trading lower by just under 3% at its current price of $ 16,700. This marks a bounce from the daily lows of $ 16,500, but a decline from the highs of over $ 17,000.
The future of all market trends will largely depend on whether or not BTC can stabilize around its current price region or if it can go higher in the coming days.
Any continued decline from here could deal a serious blow to your technical outlook, potentially causing you to see some serious losses in the medium term.
This chain trend is a problem for BTC
One analyst explained that an increase in trading activity among Bitcoin whales indicates that further downside could be imminent in the coming days and weeks.
“BTC whales are depositing on exchanges. I hope dumping in the short term. The average entry of all exchanges (144 MA blocks) reached 2 BTC. I think we are in a danger zone. The price is likely to go down or down when the whales are active in the exchanges. “
If the whales start to take profit and dump their property, this could put immense pressure on the recent uptrend for Bitcoin.
OKEx by resuming BTC withdrawals could also add some pressure to the short-term outlook for the cryptocurrency.
Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.