Leading cryptocurrency Bitcoin (BTC) Although he achieved a serious rise at the beginning of the week, he could not finish the end of the week in the same way.
The leading cryptocurrency, Bitcoin, was recently pulled up to the $ 60,000 level, causing multiple tests of important support. So what exactly is the reason for the price drop in a week like this when the Bitcoin ETF was approved?
Bitcoin Whales Sell
According to the information conveyed by Whale Alert, billions of dollars of BTC transfers were carried out before the sharp fall of Bitcoin.
It is reported that the total value of the transfers in question has reached 2 billion dollars. It is stated that 15,100 BTC was transferred in the first of the transfers, while 12,006 BTC was transferred in the other. While these come to the fore as two big transfers, it is emphasized that there are also small-scale transfers.
🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 🚨 15,100 #BTC (929,007,000 USD) transferred from unknown wallet to unknown wallethttps://t.co/753fD0o90h
— Whale Alert (@whale_alert) October 22, 2021
According to the information conveyed by Santiment, although the price of Bitcoin has declined to $ 60,000, the basic metrics are still positive.
While the number of active addresses continues to increase, the amount of BTC in circulation is decreasing. This confirms that there is actually demand, but that supply is constantly decreasing.
As well as the positive effect of the Bitcoin ETF, there is also a negative effect of the Fed Chairman Jerome Powell’s inflation statement, and this may have caused the decline.
The entry and trading of two Bitcoin ETFs in a week can create selling pressure as well as buying pressure, and investors need to be especially careful when liquidity is low.