A bitcoin whale which hadn’t moved its currencies in a few years made an unusual move in the market, scaring off more observant traders. According to an indicator, these bitcoins were stopped between 7 and 9 years.
By whale, we mean those bitcoin addresses that have a lot of coins, at least 1 thousand. That is, when these actors move their values, they can continue to fall or rise.
In the last seven days, bitcoin has accumulated a drop of 7.7% against the dollar. One of the reasons was the tough speech from the Fed chairmanJerome Powell, who in a speech ended by saying that a recession should be seen in the market, as well as high interest rates.
For a trader, the moment of truth will arrive for cryptocurrencies in the coming days.
Bitcoin whale makes an unusual move and may have caused an accident
Few times in the history of bitcoin, only 6 to be exact, a whale moved an amount of 5,000 BTCs at a time, especially when the coins were quiet for a while.
But this Monday (29), an analyst noted that a new movement of this magnitude was made by a whale, which had its coins sleeping for several years. For Philip Swift, founder of the Looking Bitcoin website, the move is important at this time in the market.
“Huge movement of bitcoin a few hours ago that was dormant for +7 years. 5000BTC from 7 to 9 years moved in a single block. One of the biggest coin movements so old. Potentially important in terms of market timing.”
Philip’s explanation of the whale’s movement is related to the other 6 times such a transaction took place, shaking the market each time.
Thus, it may be that the new whale transaction affects the price of bitcoin this Monday, if it decides to sell its coins. However, if it is just a movement between own portfolios, the market may not be affected.
“The moment of truth for cryptocurrencies is coming,” says trader
for the trader Michael van de Poppethe cryptocurrency market is experiencing a moment of truth, which could be instrumental in defining the next price cycle.
In your technical analysis published On Monday, the analyst indicated that the 200-week moving average is being tested and sentiment is bearish.
“The moment of truth has arrived for the entire crypto market. Facing yet another test of the 200-week MA, which could ultimately lead to a HL and retest. Sentiment is at a low end.”
Next Wednesday (31), bitcoin closes the month of August and until this Monday a fall of 14% is expected for the period, after a rise of 16% in July.