Saha Swatilakha
Bitcoin, the world’s leading cryptocurrency, has recently dipped below a critical support level, signaling potential market turbulence ahead. This development underscores growing concerns about the market’s stability as traders adjust their strategies and whales continue to offload their assets.
The pivotal support level at $65,000 has been breached. This drop is significant as it indicates weakening market confidence and increasing downside pressure. The unwinding of basis trades, where traders exploit price differences between the spot and futures markets, has exacerbated this trend.
Additionally, long-term holders and miners have been significant sellers recently, with CryptoQuant revealing that over $1.2 billion worth of Bitcoin has been sold in the past two weeks. This sustained selling from whales and miners suggests a consolidation phase, marked by a gradual reduction in holdings. “ETF net flows are negative with $460 million outflows in the same period. If this $1.6 billion in sell-side liquidity isn’t bought OTC, brokers may deposit BTC to exchanges, impacting the market,” Ki Young Ju, founder and CEO of CryptoQuant, said in a post on X.
Related: Strategy Sells $1.4B in Stock to Cover Bills Amid Bitcoin Slump
The Shib Magazine and The Shib Daily are the official publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.
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SAHA
Saha is a cryptocurrency journalist specializing in blockchain technology and digital finance.
