Key Points:
- Bitcoin price stays around $57,000 with no clear direction.
- Whales are buying Bitcoin on recent dips.
- Low active addresses suggest a rally is unlikely.
Bitcoin Price Stays Flat While Whales Buy
Bitcoin’s price has been flat, staying around $57,000. There is no clear interest from buyers or sellers. The broader market is uncertain, adding to the lack of direction. The Bank of Japan’s interest rate news caused a global market crash, including a 30% drop in Bitcoin’s price. When the Bank said it wouldn’t raise rates, markets recovered. But Bitcoin is still stuck and not moving higher. Active addresses, which show how many people are using Bitcoin, are down. This shows less interest from investors.
Big Holders Buy the Dip
Despite low interest, big Bitcoin holders, known as whales, are buying. The Whale Transaction Count tracks moves worth $100,000 or more. This count spiked from 1,200 to 2,700 since August 5, while Bitcoin’s price dropped below $50,000. This shows whales are buying the dip. The Market Value to Realized Value (MVRV) metric shows the average profit or loss of recent Bitcoin buyers. After the recent crash, the 30-day MVRV is at -13.39%. This means new buyers are down by 13.39%. If MVRV is between -10% and -30%, it is seen as a good time to buy.
Short-Term Rally Possible
Bitcoin could rise in the short term if it can move past $57,289 and stay above it. This could lead to a 5% rise, aiming for $60,000. The key resistance at $57,289 is crucial for Bitcoin to break for a short-term rally. Traders should watch this level closely. A rise in buy pressure and volume can help Bitcoin overcome this resistance.
Risk of Further Drop
If Bitcoin falls below $54,450, it could drop further to the next key level at $52,287. This level is important for traders to watch. A drop below this level might trigger more selling. The next few days will be important to see if Bitcoin can rise or if it will face more selling. The overall market mood and economic factors will also play a role in Bitcoin’s next move.
