Bitcoin Hits $44K as Outlook Turns Slightly Bearish
Bitcoin (BTC) once again plunged below $45,000 level earlier today. Data provided by CoinGecko indicates that BTC/USD hit $44,150, a level seen two weeks before, after a rebound to $50,000 did not solidify. Interestingly, there was only good news with respect to Bitcoin.
Stone Ridge fund has disclosed its intention to establish the first ever Bitcoin mutual fund, in addition to other key corporate acquisitions such as Square and MicroStrategy.
These, nevertheless, did not succeed in bringing back the bullish sentiment, with the numero uno crypto trading at $47,047.65, down 7.5% from prior close.
Scott Melker, a popular crypto trader, tweeted as follows:
Michaël van de Poppe, prominent analyst at Cointelegraph, had earlier predicted final major support at about $38,000, in case Bitcoin did not record an increase in transaction volume at other major support levels.
Everyone wants 42k, so we probably just go up now or drop to 38k on a savage wick. Crowd rarely gets what it wants.
— The Wolf Of All Streets (@scottmelker) February 26, 2021
#Bitcoin doesn’t look too great for a bull continuation coming period.
Still, retest at $54,000-55,000 could happen, but I’m cautious when we get there.
If we lose $47,000, then I’m looking at $42,000-44,000 and $37,000-38,500 next.
That should be the low.
— Michaël van de Poppe (@CryptoMichNL) February 25, 2021
Data provided by proprietary trading division of the US based crypto exchange Coinbase, in the meantime, indicated another lot of Bitcoins moving out of its ledger to a private wallet, a move generally reflecting institutional activity.
The recent surge of 12,100 bitcoins is the second incident this week as huge volume movements are rate, as explained by a new chart by CryptoQuant, an on-chain tracking site.
12.1k #Bitcoin have just left Coinbase.
Tranches of such magnitude are rare and were spotted on Jan, 31 and Feb, 5, 24. pic.twitter.com/AMsDQ5voIo
— Lex Moskovski (@mskvsk) February 26, 2021
“Coinbase premium,” the price difference on Binance and Coinbase platforms, turned negative multiple times briefly as Bitcoin declined to roughly $44,200. It seems whales are interested in buying at prevailing price levels, implying that a drop below $44,000 has little probability, as per CEO Ki Young Ju.
Notably, yesterday, Ki called the latest Coinbase Pro spike, which happened at $48,000, as “the strongest bullish signal” he had observed in Bitcoin.
Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.