Bitcoin continues to attract market attention amid a recent historic high. However, a price drop is currently observed due to the actions of major holders.
Dynamics of Bitcoin Prices and Long-Term Holders
Bitcoin opened the week with new historic highs but then decreased by 5%, reaching $116,850. This spike occurred after the price hit $120,000, which is a key level for traders.
Impact of Major Players on the Market
Analysis shows an increase in whale activity on Binance following Bitcoin's historic high. According to CryptoQuant, approximately 1,800 BTC have been deposited on the platform, with more than 35% of transactions exceeding $1 million. This indicates the readiness of large investors to secure profits or open new positions amid high volatility.
Prospects for Future Price Fluctuations
Bitcoin's recent rally created a CME gap between $114,380 and $115,630. Such gaps typically get filled, which could lead Bitcoin down to $114,400. Analysts suggest this could happen during the CPI release, while the possibility of a deeper correction to $108,000 is also discussed.
The Bitcoin market situation remains uncertain due to increased volatility driven by the actions of major players. This creates risks for traders, although strategic position openings could also provide opportunities.
