Bitcoin Whale Demand Climbs Higher
16 May, 2024 ● Coin news
Major Bitcoin investors are increasing their holdings as crypto analysts predict that the cryptocurrency's price may not hit new highs for several weeks.
Pseudonymous crypto trader Rekt Capital shared with Cointelegraph, “Bitcoin will likely spend some additional time hovering above the range low area, but generally, the trajectory will be upward to revisit the range high over time.”
Rekt Capital observed that the daily downtrend — a continuous pattern where Bitcoin's price falls day by day — has now "broke," with the closing price on May 15 at $65,854, up 6.9% from the previous day, according to CoinMarketCap.
He mentioned that Bitcoin has bounced back from the reaccumulation "range low" — the lower limit of a price range where Bitcoin is bought. Reaching beyond its March 14 all-time high of $73,797 "could still take weeks," he added.
Nevertheless, traders remain hopeful for a significant price surge if this trend persists. “This Bitcoin bull flag breakout will be crazy [...] Mark my words,” declared Mister Crypto, another pseudonymous trader, in a May 15 post on X.
Following a two-month downtrend, demand from Bitcoin whales is picking up again, stated crypto analysis firm CryptoQuant in their May 15 report.
According to the report, "Bitcoin demand growth seems to be stabilizing after being in a decelerating trend since March."
It further noted that there is a resurgence in the growth of Bitcoin holdings among "permanent holders and in the total balance of large investors."
However, CryptoQuant indicated that demand would need to further increase to maintain the ongoing price rally. At the time of their report, Bitcoin was trading close to its opening price of $65,863.
The firm also highlighted that low Bitcoin balances on over-the-counter (OTC) trading desks — where cryptocurrencies are traded directly between two parties without a centralized exchange — suggest a robust demand that surpasses the available supply.
Sources:
https://cointelegraph.com/news/bitcoin-whale-demand-surges-price-jump-could-take-weeks-cryptoquant
