Following a sharp drop to sub-$10,000, whales bid $8,800 to purchase Bitcoin on major exchanges like Bitfinex.
In a single day on September four, the price of BTC (Bitcoin) abruptly fell by 10%. For the first time since July, the sentiment around the cryptocurrency market became noticeably cautious with the Cryptocurrency Fear & Greed Index flashing ‘fear.’
Nevertheless, market data is showing that whales prepare to purchase Bitcoin at the $8,800 support level. It indicates that when Bitcoin dropped to as low as $3,600, a March 13-like drop is unlikely to happen.
Analysts attribute the correction of Bitcoin to the sell-off from miners. Analytics CryptoQuant pointed out that mining pools were moving to sell Bitcoin.
Data showed that miners moved unusually large amounts of Bitcoin to exchanges, after tracking the outflows from significant pools. Shortly after that, the price of Bitcoin started to drop. Thus, it declined to sub-$10,000. The researchers said that miners move unusually large amounts of Bitcoin since yesterday. HaoBTC, Poolin, and Slush have taken the BTCs out of the mining wallets. Moreover, they sent some to the exchange.
When the Bitcoin trend initially shifts, it tends to extend to the furthest resistance or support level. As an example, on March thirteen, Bitcoin flash-crashed to as low as $3,600 before a significant bounce. Bitcoin recovered from $3,600 to over $12,000 from April to September.
Thus, whales will most probably expect Bitcoin to drop to lower support levels. It includes $8,800.
Cole Garner, the on-chain analyst, commented today that it is nice to see Bitfinex whale again. The smart money has sat it bids at $8800. Thus, Garner forecasts the bottom to be around there.
The data indicates that whale forecasts a larger pullback to come soon. Nevertheless, it shows that whales do not predict a massive correction relative to previous escapes of Bitcoin.
That is the current news of the Bitcoin.