Bitcoin (BTC) prices range from $ 55,000 to $ 59,000, defining an area between $ 50,000 as a support area. This trend coincides with the strengthening of core series such as whale activity and headlines.
Since Bitcoin’s rise began to accelerate in November 2020, the average active address has increased by seven days. A trader known as “Crypto Burp” noted:
“The average daily assets of BTC for seven days trends sideways, while price action is increasing. The uptrend is stronger when supported by chain trends.”
This demonstrates that chain trends have complemented both short and long-term Bitcoin price cycles.
Big whales do not sell, they collect bitcoins
According to Santiment’s data, the major bitcoin whales have mostly collected bitcoins, with more than 35,000 Bitcoins exiting from exchanges in the past 30 days. The recent influx of funds also pushed the exchange’s BTC reserves to their lowest level since early March, before BTC reached new highs in excess of $ 60,000.
Santiment’s team wrote:
“As you might expect, not all Bitcoin whales behave well. However, we have seen interesting trends over the past two months, such as $ 100-1000 from BTC addresses adding $ 353,000 Bitcoin since February 1, while the headline has dropped -10. Thousands of Bitcoins 300,000 Bitcoins. ”
The chart shows that between 1,000 and 10,000 BTC addresses were sold, but Whalemap analysts said this area is difficult to analyze.
This area can include exchange addresses that are not flagged by most data collection platforms in the chain, so it would be best to compare 100 BTC to 1000 BTC then more than 10,000 BTC addresses.
Whale charts analysts told Cointelegraph:
“There are many exchanges in the range from 1k to 10k, so this could be part of it because it reduces availability. Since these addresses can be interchanged, it is best to look at 10k + BTC and 100-1000 BTC.”
Additionally, researchers at Glassnode found that ancient coins are more likely to move in beef markets.
When long-term employers move to sell, it puts a lot of pressure on selling bitcoins. However, at the current stage of the cycle, the movement frequency of old BTCs is much less than 50% or where BTC has peaked in previous cycles.
Glassnode researchers explained:
“In emerging markets, older currencies tend to move more. This increases the relative supply of modern currencies on the network. In previous BTC US dollar highs, about 50% of #Bitcoin supply was less than 6 months old. We are now well below that level. (36%). ”
Bitcoin HODL waves. Source: Glassnode
The upside is maintained as long as the support of $ 55,000 is maintained
Given that the big whales collected bitcoins when the cryptocurrency consolidated between $ 55,000 and $ 59,000, the upward development has not changed despite the increased profitability of the US government for 10 years.
Binance BTC_USDT order book against Delta Rollup. Source: Physical Indicators.
With 10-year Treasury yields starting to rise, risk markets will usually struggle, especially in the short term, according to Cointelegraph reports.
For example, US technology stocks have fallen over the past two weeks, coinciding with a period of Bitcoin slumping below $ 60,000.
However, as network data remains bullish for Bitcoin as long as the $ 55,000 support area remains defensive, a bullish market structure will increase the likelihood of a larger rally.