Analyst Predicts Long Bull as Whales Move Millions in Crypto
After Bitcoin reclaimed its highest price level yet in three months, big crypto whales moved Tether worth almost 400 million dollars in and out of exchange over the weekend.
Bitcoin, although currently trading a little above $38,000, traded well over $42,600 only days ago, according to CoinMarketCap. Since recording $42,685 on Sunday, Bitcoin (BTC) has recorded a price change of 6.86%.
The biggest move was seen on Sunday when an unknown wallet pulled Tether USD worth of $153.14 million from a lending platform called COMP (Compound), according to crypto tracker ‘Whale Alert.’ Whale Alert also reported that this move was completed in three different transactions..
In addition to the unknown movement, over the weekend, four unknown wallets moved dollar-pegged stable coins worth more than $221 million across crypto exchanges over the globe.
There are suggestions that the recent movements are increasing indicators of a bull. Institutional investors did begin buying Bitcoin with intent during the latest dip, which saw the price of Bitcoin surge by more than 24 percent in the following weeks.
Whale Moves: A Thermometer for Big Investor Intent
A combination of factors may determine a bull run; institutional investments in particular are known to play big roles. It is why popular analyst, Willy Woo, thinks the recent movements are enough suggestions for a Bitcoin bull run. An interesting factor obtained through data, and declared important by Willy Woo, are asset movements, usually from portfolios to brokers and vice versa.
In a recent newsletter, the market analyst predicted that Bitcoin prices could rise to $50,000-$65,000 in the following sessions. Willy Woo’s comment was only a few days after BTC/USD dropped below $30,000, the pair's psychological support level, and regained its three-month peak above $42,600.
For a good number of crypto investors, movements of major players in the market (players who have balances of more than one thousand bitcoins per address) are often analyzed with caution, as it may signal a great movement to come.
In this sense, it is considered that transfers of large amounts to brokers indicate a possible sale intention, causing smaller investors to rethink their positions. On the other hand, when large volumes leave brokerages, the investors' view is that whales are transferring their bitcoins back to a safer location, waiting for a greater appreciation of the asset in hopes to make the sale later. According to Willy Woo, the latter is the case in recent weeks.
"The present buying by all cohorts is strongly bullish," said Woo. "When everyone is buying, who is the seller? The sellers are traders. The coins sold by traders reduce the speculative inventory on spot exchanges."
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