Bitcoin's volatility increases as whales sell BTC at each new high. What is waiting for BTC?
Bitcoin price hit a new all-time high of $ 44,900 shortly after Tesla announced a $ 1.5 billion investment. this week, after Tesla announced a $ 1.5 billion investment in BTC, the price of BTC dropped to around $ 44,400 on Monday. However, since then, the price has picked up, and now bitcoin is hovering above $ 48,000.Are whales selling bitcoin in anticipation of a larger price increase?The price of bitcoin has increased by almost 8% in the past seven days, from $ 48,000 on September 28 to around $ 53,300 on October 2. This jump comes amid a wave of optimism for BTC from institutional investors, including Grayscale, MicroStrategy, and, most recently, Anbang Financial Group. whales. These investors are likely to get a bigger discount than before previously planned, which could lead to an increase in the amount of bitcoin. reported by institutional investors.For whales, buying BTC is seen as a way to protect against potential declines in the price of BTC, which can cause a " short-term bearish" effect. At the same time, the demand for bitcoin is not enough to keep the market from overheating.The trader known as "Salsa Tekila" described the current BTC price movement as"a giant inflow of whales."As long-term holders, hedge funds, and speculators accumulate bitcoin, the incentive for whales to sell it is likely to increase. "Just like in 2017, when the price of gold exceeded $ 1,800, so too much BTC can be bought by investors in a short period of time, creating a strong support structure that can last for a long time," the trader said. "In the future, this may also apply to bitcoin."Traditional markets fall as BTC struggles to stay above $ 45,000However, BTC / USD indicators also show that the pressure on BTC from whales is not enough to resist it. Bitcoin has passed the $ 45,000 mark repeatedly this week, and most of the alternative coins have also reached new highs. "Ethereum has reached a new all-time high, and I don't think it will stay that way for long, " said Mikael van de Poppe, a trader at the Amsterdam stock exchange. "Another hurdle to overcome before we see a sustained bull market is around $ 48,000, and then we can relax a bit."For bitcoin to reach this level, it needs to reach a market cap of $ 1.3 trillion, a level that whale wallets are not prepared to hold for more than a few weeks. "At the moment, the wallets are not being used to sell bitcoin, but this will probably change in the future," he said. Bitcoin also needs to be able to find a wider adoption among companies and