On-chain data shows Bitcoin whales are taking action. Shared by crypto analyst Ali to data Bitcoin whales have made some pretty impressive moves in the last five days, purchasing more than 30,000 BTC worth a total of nearly $1 billion. Despite the recent fluctuations in Bitcoin’s price, the fact that whales have made such a large purchase shows that confidence and interest in the market is still high.
#Bitcoin whales have purchased over 30,000 $BTC within the last five days, worth nearly $1 billion! pic.twitter.com/oclJBY5j6a
NEWS CONTINUES BELOW— Ali (@ali_charts) October 28, 2023
Especially recently, the expectation of a Bitcoin spot ETF (Exchange Traded Fund) has become a big topic of conversation in the cryptocurrency market. Approval of this type of financial instrument could increase institutional investors’ interest in Bitcoin and open the door to more corporate initiatives. This could increase the adoption rate of Bitcoin and other cryptocurrencies. This expectation already seems to have increased the appetite for Bitcoin among whales and institutions.
According to data from cryptocurrency analysis firm IntoTheBlock, institutional activity relative to market cap for Bitcoin appears to be increasing. All these developments triggered the number of transactions worth more than $100,000 on the BTC blockchain to reach a new peak in 2023. Large transactions (transactions valued at over $100,000) surged in late June following Blackrock’s ETF application, exceeding that threshold as Bitcoin experienced a price increase.
In addition to all these positive developments, Bitcoin momentarily exceeded $ 35,000 for the first time since May 2022. The leading crypto is up approximately 14.44% over the past seven days and managed to reach a yearly high of $35,157. At press time, it was trading at $34,269.
What’s next for Bitcoin?
Market analysts and experts offer various signs that Bitcoin’s current movements are the first steps of a new bull market. A notable indicator can be examined is Bitcoin’s MVRV (Market Value to Realized Value) ratio. MVRV compares the current market value of Bitcoin with the average cost of all previous transactions.
Currently, the MVRV ratio shows that it has not reached the peaks seen in previous bull markets. Historically, BTC bull markets have reached MVRV levels of 300% or more, while the current rate of around 150% suggests there is potential room for further upside. This signals that Bitcoin still has growth potential.
However, the recent high of $35,000 is the next resistance level for Bitcoin. If this level breaks, the next resistance could be around $38,000 – $39,000 as there was previously heavy trading volume at these levels. However, given the volatile nature of cryptocurrencies, there is always the possibility of a correction. In case of a correction, a strong support level for Bitcoin lies near the $30,000 level.
You can follow the current price movement here.