Bitcoin’s market aimed for the $60,000 mark once more on August 29 following a fresh wave of sudden sales. TradingView data indicated Bitcoin’s price action touched a two-week low of $57,900 on Bitstamp before making a comeback. The BTC/USD pair faced downward pressure the previous day, with market participants pointing to spot sales on the global exchange Binance as the cause of the weakness.
What’s the Situation with Bitcoin?
Binance became embroiled in debates regarding user funds in Palestine, which coincided with a noticeable increase in sales during US trading hours. Blockchain analytics platform CoinGlass reported a sharp decrease of 45,000 Bitcoins in Binance’s Bitcoin reserves.
Michael van de Poppe, the founder and CEO of MNTrading, forecasted a drop to $56,000 and emphasized the importance of the $61,000 level on lower time frames.
Can Large Investors Influence the Market?
Positive signals emerged from large-volume investors. Blockchain analytics platform Lookonchain identified a whale purchase amounting to roughly $60 million. According to Santiment, purchasing near the $59,000 mark was already appealing for whale and shark holding groups. They noted that wallets holding 10-10,000 Bitcoins had accumulated over 133,300 tokens in the past month, while smaller investors continued to sell.
Key Takeaways for Investors
- Monitor the $61,000 level closely as it serves as a critical support area.
- Large investors are still acquiring Bitcoin, indicating sustained interest from whales.
- Short-term volatility could present buying opportunities at lower price points.
Famous Analyst Weighs In
Prominent investor and analyst Rekt Capital noted that the BTC/USD pair maintained a weekly consolidation pattern within a narrowing wedge, suggesting a potential breakout. The analyst highlighted that Bitcoin had developed a higher low and remained above the weekly level of $55,737, forming a base at an even higher weekly level of $58,000, which is now being retested.
In summary, Bitcoin’s market is showing signs of recovery after a significant dip, driven by sales on Binance. With large investors continuing to buy and analysts predicting potential breakouts, the cryptocurrency may soon reclaim the $60,000 level.