Bitcoin (BTC) price fell below $ 16,900 again on Nov. 27 on all major exchanges, including Binance. The recent retreat is due to the fact that whale market deposits began to rise.
Ki Young Ju, the CEO of CryptoQuant, reported on it The All Exchange Inflows Mean indicator reached the “danger zone”. In the past, this resulted in BTC making short-term corrections.
Bitcoin is struggling to regain traction above $ 17,000
After the Bitcoin price fell briefly to USD 16,200 on November 27, the first signs of a recovery began to appear. It stayed above the $ 17,000 level for over 11 hours before dropping another leg.
After the sharp decline in Bitcoin, low price volatility was expected. The previous November 26th fell to $ 16,200 of decimated purses for stock market orders, especially in the futures market. Hundreds of millions of dollars in futures contracts were settled in several hours, Cointelegraph Markets reported.
But still, As soon as the whales started depositing BTC on exchanges, the price started falling. This suggests that many traders likely bought when the price fell in the derivatives market. Ki wrote November 27th:
“BTC whales deposit on exchanges. I hope the deposit will be made shortly. The All Exchanges Inflow Mean (144-Block MA) reached 2 BTC. I think we are in a danger zone. The price is likely to deviate or fall as the whales are active in the exchanges. “
Some traders, such as the pseudonymous Bitcoin investor “Bitcoin Jack”, have predicted this scenario. Said Investors would likely buy quickly if the price fell prematurely, causing it to decline further.
On November 26th, after the trader predicted an upward decline near the all-time high said::
“Another proven fact: if price corrects bitcoin style, 90% buy too early, and if price falls, they sell the fund.”
After the initial prediction, the trader said so too Bitcoin will likely fall or consolidate for a week before it starts rising.
Where is the bottom
Short-term expectations of Bitcoin funds vary. Some traders expect the $ 16,000 level to be held while others expect $ 15,000 and even $ 14,000.
A pseudonymous trader named “Beatlorion” said that A drop below $ 15,000 has become possible. Although BTC may not be falling as low, the trader said that in this environment he feels more confident going short than long.
The popular Bitcoin trader for his part Tone Vays said on November 25th that waiting Bitcoin continues to fall to the support level of USD 14,000.
As Cointelegraph Markets reported, This $ 14,000 zone should serve as critical support as it marks the peak of the bull cycle in summer 2019.
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