With Bitcoin experiencing a fresh decline over 4%, major market players, such as whales and sharks, are strategically repositioning themselves, potentially signaling future developments in the crypto sphere.
A Market Turning Point?
According to data from crypto analytics platform Santiment, wallets holding 10 or more BTC began accumulating around October 12, coinciding with Bitcoin's latest bull rally. This trend continued until late December when activity paused for the holiday dip. Accumulation resumed strongly on January 12, a week before Bitcoin reached an all-time high of $109,000. Notably, from mid-February, whales and sharks began offloading their holdings, coinciding with a broader market downturn. However, recent data indicates a renewed accumulation phase.
What’s Next For Bitcoin
QCP Capital noted that Bitcoin's $80,000 level maintains key support for now, but prices may struggle in the short term. True bullish momentum is expected to return only later this year. In the meantime, Bitcoin is likely to move in sync with stock markets as both face pressure from potential tariffs and upcoming US inflation data.
Key Levels and Predictions
Analyst Kevin Svenson stated that Bitcoin has re-entered a critical zone within its weekly parabolic trend. Svenson emphasizes maintaining an exponentially higher low, although the current state might be Bitcoin’s final chance to preserve the parabolic momentum. Trader CrypNuevo noted the importance of the $77,000 level as a historically reliable bull/bear market indicator. It's expected that Bitcoin might hover around this level for weeks, but a strong reaction from $77,000 will be key in determining the next move.
The ongoing position rebuilding by major players could significantly impact the market if accumulation persists. Analysts expect the second half of March may see confirmation, potentially leading to a meaningful recovery.
