Bitcoin has been on a wild ride lately. It’s been climbing steadily, even breaking past some important resistance levels. But things seem to be slowing down a bit.
A Bit of a Dip
Prices took a dip yesterday, falling from over $67,500 to below $66,000. If sellers keep pushing, it could really slow down Bitcoin’s upward momentum.
Exchange Activity on the Rise
While Bitcoin is still holding strong, analysts are keeping a close eye on things. One analyst noticed that exchange activity has been increasing. This means more people are buying and selling Bitcoin, which could be a sign of a big market shift.
However, to really see a major recovery, exchange activity needs to increase even more. It needs to surpass the average annual volume, which means it needs to grow by another 11%.
Whales Are Buying Big
Despite the recent dip, there’s good news for Bitcoin bulls. Whales, the big players holding tons of Bitcoin, have been buying up a storm. They’ve been accumulating Bitcoin for the past week, especially those holding at least 10,000 BTC.
These whales seem to have bought in around $64,000, so as long as the price stays above that level, they’re likely to keep holding.
What to Watch For
While the whales are bullish, it’s important to watch how Bitcoin reacts at key resistance levels. If it can break through $70,000 and $72,000, that would be a very strong signal. But if it falls below $66,000, it could be a sign that the momentum is fading.
