Bitcoin price is entering a strong period of turbulence as a result of the whales’ movements in recent hours.
BTC price had returned to the $35,000 range; however, that fade was really short-lived and now, it is once again close to $38,000. Everything indicates that it is the whales who shake the price of Bitcoin.
Certainly, talking about volatility in the price of BTC in 2023 is not at all common. In fact, since the end of the first semester and the beginning of the second, the exchange value of the currency practically did not move. However, the issue of Bitcoin spot ETFs on the US stock market became a major generator of turbulence.
This agitated environment put the whales or large investors to work, who desperately move to take advantage of the situation. Considering the influence of these holders, the price of the pioneering digital currency has problems stabilizing. The result is a wave of uncertainties and liquidations in the futures market.
Basically, since November 14, whales started taking profits from the recent rise in BTC. Immediately, others began to take advantage of the decline to buy at a lower price. The latter becomes a strong sign that the bullish sentiment is strong.
Bitcoin Whales Buy Coins Again
With cross-buying and selling, Bitcoin whales shake not only the price of BTC, but the entire crypto market. From a bearish perspective, the issue is now placed at the other end of the scale. According to ZyCrypto analysts, the bullish potential draws a possible port of arrival at $43,000.
In a report this Wednesday, ByteTree founder Charlie Morris stated that the crypto winter is now completely over. “Bitcoin’s trend is not only strong in dollars, but also against other key assets,” he was quoted as saying in CoinDesk. “This is important for institutional adoption because they don’t buy alternative assets unless there is a small additional return,” he added.
A curious aspect of this sudden price rise is that it happens despite the SEC’s new decision to postpone some ETFs. The latter could have an explanation in that this new delay was already widely expected by investors. Either way, not everyone is optimistic about the events now unfolding.
The fact that the Bitcoin whales seem to have the last word generates bad omens among some experts. For example, Kaiko analysts highlight that optimism is solely subject to the Bitcoin spot ETF without anything beyond. They highlight that liquidity is just above levels after the FTX crash.
Although the approval of the ETF is expected to cause a rise in liquidity, right now, these increases are merely speculation by the whales.
Bitcoin Price Analysis
Bitcoin re-entered the ascending channel pattern on November 13, which may have trapped the aggressive bulls. That started a sell-off, which brought the price to the channel support line on November 14.
The strong rebound from the support line suggests that lower levels continue to attract buyers. The bulls will try to push the BTC/USDT pair above the resistance line, but could encounter heavy selling from the bears.
If the price turns back and breaks below the channel, it will suggest that traders are rushing towards the exit. That could push the price to the $32,400 to $31,000 support zone. The bulls are expected to buy aggressively at lower levels. The bulls will be back in control after taking the price above $38,000.
By Audy Castaneda