Bitcoin’s price has stabilized around $27,000 after multiple unsuccessful attempts to surpass the psychological resistance level of $30,000, indicating that the crypto-asset has entered a consolidation phase. However, this could present an opportunity.
Large whale addresses have been accumulating at a steady rate over the last five weeks while the world’s largest crypto asset has remained stagnant.
- During this period, these market players, holding between 1K and 10K BTC, accumulated a total of 84,897 BTC, worth about $2.3 billion at current prices.
- This move shows that investors view the recent stagnancy in price movement as an opportunity to acquire more of the asset.
- Analytic firm Santiment reported that during the previous accumulation cycle in January, Bitcoin’s price increased by almost 35% when these whale addresses went into accumulation mode.
🐳 #Bitcoin‘s key large whale addresses tier has been on a steady accumulation run over the past 5 weeks, accumulating a combined 84,897 $BTC during this time while prices are stagnant. In their previous accumulation cycle in January, prices jumped +34.4%. pic.twitter.com/sV43UxGksj
— Santiment (@santimentfeed) May 16, 2023
- K33 previously speculated that BTC could peak at around $45,000, citing the similarity of its price trajectory to the early 2019 surge.
- Although halfway through the month, the largest crypto-asset has yet to break its resistance level of $30,000, another factor could potentially serve as a catalyst — the movement of a large number of bitcoins from crypto exchanges.
- Analyst Ali Martinez noted that over the last 24 hours, more than 20,000 BTC has moved off these platforms, indicating that market players anticipate a price surge.
- While the $45,000 prediction may not materialize this month due to bleak short-term prospects for Bitcoin, the long-term on-chain indicators indicate bullish developments and resemble the early stages of previous bull markets, as stated in Bitfinex’s recent report.