Data show that Bitcoin (BTC) has already reached $ 50,000 on some exchanges, but it must make the whales stand by it for optimal support.

In a tweet from February 16, Ki Yong Joo, CEO of online analytics service CryptoQuant, identified the so-called Coinbase premium as one of the latest barriers to BTC / USD.

The negative premium slows down the grinding process
An apparent battle broke out in Bitcoin trading on Tuesday, with the $ 50,000 amount left out of the bulls’ reach.

When we analyzed the premium that compared Coinbase BTC / USD’s price with the Binance BTC / USDT pair, Key argued that until neutralization, higher levels are unlikely.

The premium is currently negative, which means that it is cheaper to buy Bitcoin on Coinbase. As a result, merchants, especially whales, will continue to accumulate. Once the balance stabilizes, the momentum looks like it has convincingly hit $ 50,000.

Key writes that “This $ 50,000 fight is about Coinbase (USD) whales versus Stablecoin (USDT) whales.”

“Coinbase’s negative premium, but many stable coins are on the stock exchanges. Negative premiums must be reduced to get a new stage.”
The stable exchange-traded currency balances, which have reached full-time in recent days, indicate a desire to exchange other assets. Meanwhile, the largest stable currency, the USDT, has accelerated its appreciation in recent months, as the market value of the USDT approaches $ 33 billion.

However, at the time of writing, the whales were still queuing to sell for $ 50,000 or more. A look at Binance’s order box data showed that sales orders show $ 1,000 to $ 55,000 each.

No “RD” on the GBTC price
Meanwhile, an analyst warned against misinterpreting a new premium cut, this time in institutional investor circles.

Since the beginning of 2021, the premium for Grayscale Bitcoin, which is the price that investors pay for the Grayscale Bitcoin Trust (GBTC), has decreased. A more competitive buying opportunity indicates not only a reduction in interest in Bitcoin, but a result of the availability of more shares.

“GBTC’s large dollar premium is a sign of strong demand for bitcoin. Institutional flow to GBTC in US dollars has been one of the biggest drivers of this bull market, so everyone is looking at this premium. Macro analyst Alex Kruger explained that the premium has now collapsed.”

“The premium did not decrease due to unstable demand for GBTC in dollars (in the secondary market), but due to the increase in emissions – emissions have increased sharply in recent months, which has helped to reduce premiums with delays. Trading with GBTC marked in The US dollar has become very crowded. ”
As reported by Cointelegraph, Grayscale is regularly increasing its BTC holdings and also resumes Ether (ETH) purchases in February after a nearly two-month break. As of February 12, he had $ 31.1 billion in Bitcoin assets under management.

Source: CoinTelegraph

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