BTC/USD SOPR chart. Source: Whalemap.
Friday even more sees a significant expiry event on Bitcoin alternatives, something which has determined short-lived down pressure on BTC in the past..
The days low of $44,150, some say, was simply an attempt to suck up liquidity before the next leg higher.
” Yes, market discarded after mega-whales offered into the rally (as alerted), but ever since, they have been buying dips!” the creator of exchange orderbook information analysis service Material Indicators observed.
” With stonks unpredictability, I do not understand the number of more dips there will be, however theyre being purchased!”.
That “unpredictability” is being worsened by worrying trends in bond yields, Cointelegraph reported this week, with behavior seen as similar to before the Global Financial Crisis of 2008.
Title: Bitcoin rate macro top? Not so quickly– data shows the genuine FOMO isnt even here.
Sourced From: cointelegraph.com/news/bitcoin-price-macro-top-not-so-fast-data-shows-the-real-fomo-isn-t-even-here.
Released Date: Fri, 26 Feb 2021 12:04:10 +0000 Share on TwitterShare on FacebookShare on LinkedInShare on RedditShare on Pinterest2021s Most Anticipated Growth & Wealth-Building OpportunityJoin Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency TogetherCLAIM YOUR SEAT!Read More.
Bitcoin (BTC) bears thinking that $58,000 was this cycles top will be sorely dissatisfied, fresh investment data from previous booming market reveals.
Put together by on-chain analytics resource Whalemap, data covering BTC buys of between $5 million and $7 million conclude that even at recent all-time highs, Bitcoin was far from a “macro top.”
” No FOMO in sight” for BTC
During the 2017 and shorter 2019 booming market, Bitcoin saw mass buy-ins of a comparable size– $5-7 million..
When financial investments of that amount struck a peak, price action began to reverse, indicating the start of combination or a much heavier retracement..
According to Whalemap, money injections because area have actually been far from their previous peaks this year, showing that the current correction will likely be temporary and on par with BTCs typical corrections throughout a bull run.
” Previous macro tops have taken place when thousands of deals worth 5 to 7 million dollars each were flooding the blockchain. Real FOMO,” scientists tweeted on Feb. 25.
” Currently, no such FOMO in sight for BTC.”.
Bitcoin $5-7 million transaction volume vs. BTC/USD chart. Source: Whalemap/ Twitter.
The expectation of further buy-ins supports existing data that came to light this week, notably from Coinbase Pro, which has seen several tranches of over 10,000 BTC leave its books for personal or custody wallets.
The very first unfavorable premium on the Grayscale Bitcoin Trust (GBTC) considering that early 2017 might also indicate the conclusion that the 2021 bull cycle still has a lot more space to run.
” Another substantial Coinbase outflows at 48k. United States institutional financiers are still buying $BTC,” Ki Young Ju, CEO of fellow tracking resource CryptoQuant, tweeted on Friday.
” I believe the significant factor for this drop is the jittering macro environment like the 10-year Treasury note, not whale deposits, miner selling, and absence of institutional need.”.
The start of the turnaround maybe earlier than lots of think. In his newest analysis, pseudonymous cryptocurrency trader Rekt Capital eyed the 4-hour BTC/USD chart for evidence of a turn-around.
” Pulls back however still holds the wick-to-wick Higher Low. Turn $46720 in to support (black) and BTC will move higher. Strong bullish divergences on the 4HR are appearing as well,” he commented together with an annotated screenshot of the chart.
BTC/USD 4-hour candle light chart. Source: Rekt Capital/ Twitter.
Talking to Cointelegraph, the Whalemap team kept in mind that short-term the spent output profit ratio (SOPR)– which tracks overall market earnings and loss– was showing that a deeper sell-off is off the cards, at least in the meantime.
” Hourly SOPR shows prospective for a minimum of a short term bounce,” they stated.