Whale selling appears to push Bitcoin’s price down following a price surge yesterday.
In a CryptoQuant Quicktake shared today, CryptoQuant analyst Achraf Elghemri discloses that the high flow of whales to the market after a rise in the price of Bitcoin has often coincided with Bitcoin price drops.
High flows Whales Ratio
— CryptoQuant.com (@cryptoquant_com) October 26, 2022
Notably, Crypto Vinco, in a tweet yesterday, asserts that whales are selling again. According to Vinco, citing Glassnode data, in the past week, holders of Bitcoin for over one year sold over 50k BTC, holders for over two years sold 40k BTC, and holders for over three years sold 30k BTC.
On-chain data shows #Bitcoin long term holders are dumping again.
1+ year holders = sold 50K BTC
2-year holders = sold 40K BTC
3+ year holders = sold 30K BTC
All within the last week. This is extremely bearish, and evidence a continued crash is coming! pic.twitter.com/AKMwnrCrKw
— Vinco (@CryptoVinco) October 25, 2022
It bears mentioning that yesterday, Bitcoin surged to reclaim the $20k price point after trading below for over two weeks. The asset’s price surged as high as the $20,400 price point but now appears to be retracing, which may indicate whale selling.
Despite the recent retracement, il Chapo Crypto, who predicted the latest price rally, still believes that the asset will make it to $21k in this latest upswing, asserting that the retracement is good. However, the analyst has also cautioned traders and investors not to get too bullish after Bitcoin clinches the price target or surpasses the price. Notably, il Chapo Crypto expects the price to find resistance at that level, which will cause it to trade lower and eventually bottom out at the $14k price point sometime in November.
The fact that this retracement is happening before taking the last high is a good sign. In my opinion, we will see the last push up to 21k this week.
Time pivots are October 27th and November 2nd (interest rates). Potential bottom about mid November.
Key levels: 21k and 14k. pic.twitter.com/MPnGFR1Whz
— il Capo Of Crypto (@CryptoCapo_) October 25, 2022
Notably, this aligns with a recent analysis by CryptoQuant analyst Onchain Edge, who concedes that there is some potential for Bitcoin to plummet to the $15k price point in November. This is close to the delta price of about $14,478. The Delta price is where Bitcoin bottomed out in the 2015 and 2018 bear cycles.
Meanwhile, veteran analyst Peter Brandt places the price bottom at $13k.
Crypto analyst Michaël van de Poppe has attributed the latest rally to falling yields and signs of weakness in the US dollar index (DXY). The Eight founder asserts it is time for significant relief across the crypto markets.
Big move, as Yields have been falling down and $DXY showing weakness.
Tables are turning, it's definitely time for significant relief across markets for #crypto.
— Michaël van de Poppe (@CryptoMichNL) October 25, 2022
Coinglass data shows that crypto liquidations have surpassed $820 million in the last 24 hours as traders are being taken out of their short positions by the recent pump.
Bitcoin is trading at the $20,289.08 price point, up 5.23% in the last 24 hours.