The Bitcoin price continues to fluctuate wildly after crashing from its all-time high price above $73,000. This has triggered a wave of bearish sentiment in the market, causing a large number of crypto traders to go short on the pioneer cryptocurrency. As a result, these bears lose, risking a large amount if the Bitcoin price resumes its bullish rally.
In a post shared on X (formerly Twitter), crypto analyst Ash Crypto revealed an interesting trend concerning Bitcoin that has been developing. The screenshot shared shows that a large number of short trades have been placed on BTC, with the expectation that the price could continue to fall.
Now, so far, these bulls look to be right as Bitcoin has failed to successfully clear $67,000. However, they stand to lose a lot of money if BTC is able to clear this resistance and resume upward. According to Ash Crypto, there is over $7.2 billion worth of BTC shorts which risk liquidation if Bitcoin were to reach a new all-time high price above $74,000.
At the time, the Bitcoin price had recovered above $66,000, spurring a flurry of bearish activity in the market. However, these bears seem to have succeeded, as the BTC price has fallen below $64,000 at the time of writing.
As a result, bears have been emboldened, with the expectation that the Bitcoin price will still from here. So far, the liquidation trends risks have continued to rise as the BTC price falls. Data from Coinglass shows that if Bitcoin were to recover above $44,000 and reach a new all-time high, bears stand to lose over $10 billion.
Even though Bitcoin bears seem to be making bank with the price of Bitcoin falling, the bulls are far from done. Rather, they have been using this price decline as an opportunity to fill up their bags. This accumulation has been even more prominent among Bitcoin whales, who have picked up 1.4% of the total supply in the last month.
On-chain data tracker Santiment reported that in the last four weeks, Bitcoin whales have added 266,000 BTC to their balance. The cohort responsible for this are those holding between 1,000 and 10,000 BTC, making them the mega whales. In total, they spent $17.8 billion on buying BTC in just one month.
As a result of this accumulation, these 1,000-10,000 BTC whales now hold 25.16% of all BTC in existence. Their numbers are also on the rise, with Santiment identifying this as the “Highest crowd bullish bias since all-time high week in early March.”
For now, Bitcoin continues to struggle with the bears to hold the $63,000 support. Its price is down 4.05% in the last day to trade at $63,600, at the time of writing.
Scott Matherson is a prominent crypto writer at NewsBTC with a knack for capturing the pulse of the market, covering pivotal shifts, technological advancements, and regulatory changes with precision. Having witnessed the evolving landscape of the crypto world firsthand, Scott is able to dissect complex crypto topics and present them in an accessible and engaging manner. Scott’s dedication to clarity and accuracy has made him an indispensable asset, helping to demystify the complex world of cryptocurrency for countless readers.
NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.
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