The world’s largest cryptocurrency Bitcoin (BTC) has faced strong selling pressure and is currently holding under $17,000 levels. Another major development is that the whale interest in Bitcoin has been declining which could be a sign of worry going ahead.
Bitcoin’s $1 million value transactions have touched a two-year low and whales have been showing very little interest in either dumping or accumulating Bitcoins. On-chain data provider Santiment noted:
Bitcoin’s ranging prices have a lot to do with declining whale interest. This chart illustrates how closely $BTC and $1M+ valued whale transactions correlate. If prices continue sliding and a spike occurs, this would be a historically #bullish signal.
This scenario is true not only for big whales but even for mid-sized whales. The total number of large transactions on the BTC network with values greater than $100,000 has just touched a new yearly low of 8040 transactions. It clearly reflects the low whale and institutional activity on the BTC network.
Low Investor Interest in Buying Bitcoin
Along with the whale activity, other on-chain data shows that investors’ interest in buying BTC has also been declining. Citing data from IntoTheBlock, crypto analyst Ali Martinez reported:
“Data from @intotheblock shows the number of new addresses created on the $BTC network has been trending down. It has decreased by 8.16% in the past seven days. This network activity suggests that investors aren’t interested in buying #BTC at the current price levels”.
The Bitcoin Price Volatility has touched a new all-time low and thus it’s been difficult to predict in which direction the BTC price will move. Crypto analyst Ali Martinez explains: “Bitcoin sits between two significant supply walls. One at $16,600 where 1.46 million addresses hold 915K BTC and the other one at $17,000 where 1.27 million addresses hold 730K $BTC. A sustained move outside of this area will likely determine the direction of the trend”.