Bears Bitcoin (BTC) believes that $ 58,000 was the peak of this cycle, will be very disappointed to see new investment data from previous bull markets.
BTC buys between $ 5 million and $ 7 million, collected by Whalemap from an online analytical source, concludes that Bitcoin, even with recent record highs, is far from a “big peak”.
“No fear of bitcoins”
During the bull market in 2017 and shorter 2019, bitcoins were bought back by groups of the same size – $ 5-7 million.
When an investment of this amount reached its peak, the price action began to reverse, indicating the beginning of a consolidation or a stronger rebound.
According to Whalemap, cash infusions in this area were far from the previous peaks this year, indicating that the current correction is likely to be temporary and in line with typical BTC corrections during a bullish cycle.
The researchers tweeted on February 25: “Earlier macroscopic spikes occurred when thousands of transactions worth between $ 5 million and $ 7 million flowed into the real FOMO blockchain.”
“There is currently no FOMO on the horizon for Bitcoin.”
Bitcoin traded $ 5-7 million on the BTC / USD chart. Source: Whalemap / Twitter
The expectation of more purchases confirms current data that emerged this week, especially from Coinbase Pro, where several segments worth more than 10,000 BTC have left their books for individuals or wallets.
The first negative premium on the Grayscale Bitcoin Trust (GBTC) since the beginning of 2017 may indicate the conclusion that the 2021 bull cycle still has more room to implement.
Ki Yong Joo, CEO of the monitoring company CryptoQuant, tweeted on Friday: “Coinbase streams are another significant part of $ 48K.
“I think the main reason for this decline is the tense general environment, such as 10-year government debt bills instead of whale deposits, mining sales and a lack of institutional demand.”
The beginning of the transformation may be faster than most people think. In its latest analysis, cryptocurrency trader Rekt Capital looked at the 4-hour BTC / USD chart to prove the shift.
“It comes back, but still holds the top of the wick to merge with it. Turn on support for $ 46720 (black), and BTC will increase. Strong bullish deviations are also visible at 4HR, ”he commented along with an explanatory screenshot of the chart.
Speaking to Cointelegraph, the Whalemap team noted that SOPR (Short-Term Profit and Spend Ratio), which tracks total profits and losses in the market, suggests that deeper sales are outside the short range, at least for now.
“Every hour, SOPR shows the likelihood of at least one short-term rebound,” they said.
Friday will also see a major bitcoin option expiration event, which has temporarily put pressure on BTC in the past.
Some say that today’s lowest value of $ 44,150 was just an attempt to absorb liquidity before the next step in the rally.
“Yes, the market was flooded after selling the giant whales in the rally (he warned), but since then they started buying on the fall!” Note the creator of the data analysis service for the trade order book.
“Because of the uncertainty surrounding the rocks, I do not know how many falls, but they are purchased!”
The Cointelegraph reported this week that “uncertainty” is exacerbated by worrying trends in bond yields, as behavior appears to be similar to what it was before the 2008 global financial crisis.