After a gigantic downfall following the global tensions and speculations of war, the crypto space is trying hard to validate a recovery. The Bitcoin price dropped to $60,000, but after a brief consolidation, the token quickly regained levels above $61,000. This displayed the growing strength of the bulls. As the rally has now surpassed $62,000, is it the right time to buy Bitcoin? Will the BTC price rise back above $65,000?
Recently, the price slumped hard, close to $60,000. This move was expected to attract huge liquidity. Unfortunately, the platform witnessed weak buying at these levels, which suggested a dropped interest among the market participants. The latest data from CryptoQuant suggests that, along with market participants, the whales also appear to have lost interest in the crypto.
The founder & CEO of CryptoQuant, Ki Young Ju, shared data that indicates the whales have set a record for the least profit-taking in the past cycles. They are reportedly distributing their BTC across different addresses. As a result, only 1975 addresses are now holding between 1000 & 10000 BTC. This sentiment appears to be too low for the bull run and hence the price is expected to witness an extended consolidation.
What’s next for the Bitcoin price?
Ever since the price began to drop, the selling volume has increased consistently. It suggests a lot of coins changed hands and as a result, the stronger hands are holding right now. On the other hand, the social dominance of the token continues to rise. However, the BTC price has been trading below the short-term holder’s realised price since June 22. Whenever the price falls below this level, the short-term holders may sell to avoid deeper losses.
Therefore, the next price action of Bitcoin needs to be closely monitored, as the levels around $63,000 could be extremely crucial, which may decide the next price action.
