Bitcoin’s market is witnessing an extraordinary phase of accumulation as prominent crypto investors, often referred to as whales, have increased their stakes in the digital currency. In an aggressive expansion of their portfolios, these whales have added over 100,000 BTC, valued at approximately $7 billion, over the past week alone.
#Bitcoin whales have purchased more than 100,000 $BTC over the past week, worth $7 billion! pic.twitter.com/2LBDgZ17Xa
— Ali (@ali_charts) March 27, 2024
This investment highlights a profound vote of confidence in Bitcoin from its most substantial investors, suggesting a bullish outlook for its future. The details of this transaction surfaced on social media, where ali_charts drew attention to the whales’ buying spree on Twitter.
This aggressive investment maneuver by such key market participants is viewed as a strong endorsement of Bitcoin’s long-term value. Historical patterns of similar large-scale acquisitions have frequently led to notable shifts in the market price. This hints at the possibility of an impending upward trend and sparks speculation about Bitcoin’s market trajectory.
Despite this aggressive accumulation by whales, the price of Bitcoin has faced a downturn in the last 24 hours, falling below the $70K mark. According to CoinMarketCap, Bitcoin opened the day at $71.22K but dropped to an intraday low of $69.448K, eventually stabilizing at $69.77K. This represents a 1.39% decrease for the day, mirrored by a similar decline in its market capitalization to $1.369 trillion and a 23.13% fall in its intraday trading volume to $33.892 billion.
BTC/USD 24-Hour Chart (Source: CoinMarketCap)
The technical analysis on the 4-hour chart indicates a bearish trend, as the Moving Average Convergence Divergence (MACD) indicator trends downward at 1189. This movement, nearly crossing the signal line, suggests the forecast of potential bearish momentum in the near future.
Additionally, the histogram bars are flattening and approaching the zero line, suggesting a decrease in price may be imminent. The RSI stands slightly above the middle line at 60.48, indicating a potential weakening of buying pressure. Originating from an overbought condition, this suggests a possible reversal and a downward price movement in the days ahead.
BTC/USD 4-Hour Chart (Source: TradingView)
Should the bearish trend persist, Bitcoin’s price is expected to target the 50% Fibonacci retracement level, acting as the immediate support. Conversely, a resurgence of bullish momentum could propel the price toward the 78% Fibonacci level, serving as the next significant resistance point above the $70K threshold.
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