Bitcoin finds itself in a tug-of-war between bullish and bearish sentiments, teetering around the crucial $40K mark.
Analyst Ali’s Bitcoin Sentiment Cycle suggests that the current 20% correction in BTC aligns with historical patterns, often preceding a temporary setback before a resumption of the uptrend.
The crypto landscape echoes with the clash of bulls and bears, with Bitcoin whales offloading approximately 70,000 BTC in the past fortnight, totaling a substantial $3 billion.
#Bitcoin whales have sold around 70,000 $BTC over the past two weeks, worth around $3 billion! pic.twitter.com/1yaeIrmkRc
— Ali (@ali_charts) January 23, 2024
BitMEX founder Arthur Hayes anticipates a support range for Bitcoin between $30,000 and $35,000, supporting his recent acquisition of $35,000 strike puts for March 29, 2024.
BitMEX founder Arthur Hayes: I believe Bitcoin forms support between $30,0000 to $35,000. That is why I purchased 29 March 2024 $35,000 strike puts. I also dumped my trading positions in Solana and Bonk at a slight loss. Once Bitcoin drops below $35,000, I will start bottom…
— Wu Blockchain (@WuBlockchain) January 24, 2024
Notably, Hayes strategically liquidated positions in Solana and Bonk, intending to engage in “bottom fishing” when Bitcoin dips below $35,000.
Grayscale Onchain Bitcoin Transfer To Monitor
Grayscale’s on-chain activities reveal a consistent daily sell-off of thousands of Bitcoin, raising concerns among bears who predict a downward trajectory below $30K in the next 60 days. Grayscale’s recent deposit of 15,222 BTC ($588.5M) to Coinbase Prime adds to the ongoing sell-off, accumulating to 79,213 BTC ($3.27B) since the ETF approval. As per Arkham, Grayscale’s current Bitcoin holdings stand at 535,755 BTC ($20.68B).
Bitcoin’s Price Dips Below $40K Amid Industry Struggles
Contrastingly, Fidelity and ARK 21Shares exhibit confidence in the market by adding to their Bitcoin holdings. Fidelity incorporated 3,957 BTC ($154M), while ARK 21Shares increased their holdings by 1,620 BTC ($62.6M) in a recent move.
BlackRock’s iShares Bitcoin Trust expanded its portfolio by acquiring 6,495 BTC ($254.7M) from Coinbase Prime, amassing a total of 39,925 BTC ($1.59B). The current market scenario reflects the ongoing struggle between optimistic and bearish forces, leaving investors in anticipation of Bitcoin’s next move.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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