12.05.202108:07 Forex Analysis & Reviews: Bitcoin whales have started to get rid of their coins

Bitcoin has been trading quite oddly lately. First, while many cryptocurrencies are growing and increasing their capitalization, Bitcoin has not been able to update its own highs for about a month. On the one hand, this is fine as it's not every day that bitcoin grows. On the other hand, it was usually Bitcoin that led the rest of the cryptocurrencies, but not now. Secondly, bitcoin continues to be located inside the Ichimoku cloud, regularly working out its upper and lower lines, and bouncing off them. For example, yesterday BTC bounced off the Senkou Span B line, which again provoked an increase in quotes. For the fifth or sixth time, the cryptocurrency has returned to the 61.8% Fibonacci level, which is equal to $58,000. Thus, in recent weeks, Bitcoin has generally been trading in a fairly narrow range. As we said earlier, the level of $58,000 is holding back quotes from further growth, but at the same time, the correctional scenario is not being realized. We still believe that bitcoin has more chances for a correction. Recall that bitcoin is nowadays an exclusively investment instrument. And since there is no certainty that it will not collapse by 80-90% of its value tomorrow or the day after tomorrow, any category of investors can start getting rid of this cryptocurrency if it stops growing. There are no reasons to keep it on the balance sheet at all if there are enough cryptocurrencies that have stronger growth potential and are now in a clear bullish trend. Actually, we have already talked about the flow of capital from bitcoin to ethereum and other altcoins.

Yesterday, it became known from the Delta crypto platform that the number of addresses on which 1000 BTC and more are concentrated has decreased to a minimum since the beginning of this year. In the last 5 days alone, their number has decreased by 3% to the value of 1943. Of course, these are data on only one stock exchange, nevertheless, the trend is obvious. Bitcoin whales are starting to slowly sell their coins. Maybe they do not have plans to completely get rid of all the coins, but this is again the flow of capital into other, alternative instruments, which we talked about earlier. It should also be noted that there are few people who want to invest in bitcoin at a price of almost $60,000, much less than at a price of $20-40 thousand. Thus, against the background of this reduction, more experts are now inclined towards the corrective variant of the bitcoin movement. It should also be noted that the fundamental background for bitcoin has not been the most favorable lately. There was little positive news, but there was enough negative news. The most important thing now is to understand how the big players in the market are set up. From our point of view, the outflow of capital from bitcoin to other cryptocurrencies will continue. All forecasts saying that bitcoin will cost $100,000 this summer is great, but to realize these figures, a new inflow of investments is needed, and investments are now flowing into altcoins.

In technical terms, bitcoin continues to be below the 61.8% Fibonacci level, so now a correctional scenario is looking promising again. We are still waiting for it to fall to the previous local minimum of about $47,000 per coin. At the same time, the rebound from the Senkou Span B line again postponed the implementation of this scenario for some time.