- BTC’s foreign exchange reserves were increasing at the time of writing.
- Bitcoin derivatives metrics also painted a bearish picture.
After a comfortable week-long bull rally, Bitcoins [BTC] growth momentum slowed. This was evident from the fact that BTC’s price moved only marginally over the past 24 hours. However, the whales showed tremendous confidence in BTC as they continued to stockpile coins.
Read Bitcoins [BTC] Price prediction 2023-24
Bitcoin whales are confident
According to CoinMarketCapBitcoin has managed to increase its price by more than 13% in the past seven days. This gave investors hope for a further increase in the price. However, the reality turned out to be different: BTC growth declined over the past 24 hours.
The price of BTC has even risen by less than 1% in the past day. At the time of writing, it was trading at $34,096.52 with a market cap of over $665 billion.
Although BTC’s growth slowed, the whales had faith in the king of cryptos. Ali, a popular crypto analyst, recently posted a tweet revealing how whales behaved in the past.
According to the tweet, whales bought BTC worth more than $1 billion in the past five days, reflecting their confidence in the currency.
#Bitcoin whales have purchased more than 30,000 $BTC in the last five days, worth almost $1 billion! pic.twitter.com/oclJBY5j6a
— Ali (@ali_charts) October 28, 2023
Looking at the bigger picture
Although the whales’ confidence in BTC was high, the frontier market seemed to have a different opinion. This was evident from the fact that BTCThe supply on the exchanges exceeded the supply outside the exchanges.
Moreover, the foreign exchange reserve also increased, meaning the currency was under selling pressure at the time of writing.
Source: Santiment
It was surprising to note that despite clear evidence of an increase in selling pressure, BTC liquidation remained quite normal. According to Hyblock Capital’s chart, BTCThe company’s liquidation level has not risen to worrying levels in recent days.
Source: Hyblock Capital
A look at Bitcoin’s social metrics revealed that negative sentiment surrounding the coin has increased in the recent past. From MoonCrushBTC’s social mentions and bullish sentiment have dropped significantly over the past seven days.
Another bearish measure of BTC’s Altrank, which is up 31 in the past week.
Not only that, but Bitcoin’s trading volume plummeted, as a result of investors being unwilling to trade the coin. Due to the recent discontinuation BTC‘s value upward trend, price volatility 1w also registered a decline.
The MVRV ratio also fell, further increasing the likelihood of a price drop in the following days.
Source: Santiment
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Derivatives market data also looked quite bearish. According to Mint glassBTC’s open interest increased while its price plateaued, suggesting this trend would continue.
Additionally, BTC’s Taker Buy – Sell Ratio and Funding Rate were green, meaning investors in the futures market bought BTC at a time when the price trajectory was slowing.
Source: CryptoQuant
