Bitcoin falls below $57k for the first time in two months

As a seasoned crypto investor with several years of experience in the market, I’ve seen my fair share of market fluctuations and trends. The recent downturn in Bitcoin (BTC) price has left me feeling a mix of frustration and caution.

The price trend for Bitcoin (BTC) has been declining over the last week, causing it to dip beneath the significant threshold of $60,000. This shift comes as large-scale investors, known as “whales,” have been more active in the market.

Bitcoin experienced a 8% decrease in value over the past 24 hours and is currently priced at approximately $56,990. This price point brings back memories of late February. Consequently, Bitcoin’s market capitalization dipped below the $1.13 trillion threshold. Despite this decline, the asset’s daily trading volume saw a substantial rise, surpassing the $45 billion mark by 70%.

Bitcoin falls below $57k for the first time in two months

Based on Santiment’s data, there has been a 60% surge in the number of whale-sized Bitcoin transactions, defined as those worth over $100,000, since April 28. The count of such transactions has grown from 7,973 to 12,735 daily occurrences at the time of reporting.

Additionally, according to Santiment’s data, the quantity of Bitcoin held in exchanges grew from 811,810 BTC to 821,740 BTC within the last 24 hours. This trend may indicate that certain Bitcoin owners could be intending to offload their coins due to the prevailing anxiety and unease in the cryptocurrency sector.

As a cryptocurrency analyst, I’d like to share my perspective on a recent finding from BitMEX’s report. On April 30th, they claimed that an unidentified entity holds approximately 47% of the total Bitcoin mining hashrate worldwide. This significant control could potentially introduce substantial risks to the decentralized nature of Bitcoin’s network.

In contrast, the Bitcoin Relative Strength Index (RSI), as reported by Santiment, has decreased from 52 to 40. This implies that Bitcoin is currently underpriced based on this technical indicator. However, heightened whale activity might lead to greater price fluctuations for the cryptocurrency.

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2024-05-01 12:36