Bitcoin Whales Are Moving Their Coins to Exchanges — What This Means For BTC Price

Bitcoin Whales Are Moving Their Coins to Exchanges — What This Means For BTC Price

Bitcoin Whales Are Propping Markets As Bulls Regain $9,000

After the massive Bitcoin breakout above $10,000, Bitcoin whales, investors who hold a lot of coins, have started moving their Bitcoins to exchanges again. Throughout 2020, especially after the crash on March 12, the number of Bitcoins withdrawn from exchanges increased massively.

This was a sign that investors and crypto enthusiasts were not eager to continue selling their Bitcoin but rather hold it.

According to data from CryptoQuant, the number of Bitcoin getting deposited to exchanges has now increased significantly.

It’s important to note that it is still lower than the amount of Bitcoin that was being withdrawn back in March and April. Additionally, as some users have pointed out in the replies, Market Makers move funds to balance their own books, something that is not filtered in the chart.

This doesn’t necessarily mean that Bitcoin will suddenly crash, of course, many people want to take profits but demand can always be higher than the selling pressure. Furthermore, Bitcoin can be used on many exchanges to enter long positions with leverage. For instance, on BitMEX, users can only deposit Bitcoin and use it to buy Bitcoin with leverage so it’s unclear if the inflow of Bitcoin means there will be more selling pressure or buying pressure.

Bitcoin Short-Term Remains Bullish

From a technical standpoint, Bitcoin is extremely bullish, especially in the short to mid-terms. The daily chart has clearly created a bull flag even though the RSI is overextended.

Bitcoin Whales Are Moving Their Coins to Exchanges — What This Means For BTC Price
BTCUSDT Chart By TradingView

This bull flag is remarkably healthy as the pole had increasing bull volume and the flag is seeing a decrease in trading volume awaiting the next leg up. The overbought RSI will not stop the buyers as long as FOMO and demand keep increasing, something that happened in the past many times.

Today, however, around $745 million in Bitcoin options will expire which could push Bitcoin above $12,000 as the current sentiment is heavily bullish.

  • Bitcoin
  • Ethereum
  • Litecoin
  • Zcash
Scan to Donate Bitcoin to bc1qcc3xajxvdqjnx2f7j7sfcfun7jagr0nh94fa2e

Donate Bitcoin to this address

Scan the QR code or copy the address below into your wallet to send some Bitcoin

Scan to Donate Ethereum to 0x704671D7591d05Dd0790E86Aee964558E9347b07

Donate Ethereum to this address

Scan the QR code or copy the address below into your wallet to send some Ethereum

Scan to Donate Litecoin to ltc1q7tj9ydra9ylkelu42vypp6cu2v0msf5lc2p5mq

Donate Litecoin to this address

Scan the QR code or copy the address below into your wallet to send some Litecoin

Scan to Donate Zcash to t1LiPaQ7gsSL23FbjXswpSoguP6yAE1xj5B

Donate Zcash to this address

Scan the QR code or copy the address below into your wallet to send some Zcash

 120 Interactions,  2 today

Crypto & Finance News