Whalemap: Watch Out For These 3 Bitcoin Levels! Whales Waiting

Earlier this week, Bitcoin (BTC) rallied above $20,000, raising investors’ hopes. But later, it fell like the previous ones and fueled anxiety. Investors have turned many of their attentions to BTC, which has been pushing the long-term descending trendline resistance. However, according to analysts, “BTC price has been stuck in the middle of $ 18,500 and $ 24,500 for 114 days, and the recent rise supports this consolidation.

At the time of writing, the price of BTC continues to fight at $20,000. It remains unclear whether this mid-range level will remain a foothold. Information from on-chain analytics firm Whalemap gives investors an idea. Whalemap points to three price zones that traders should focus on.

“Watch out for these 3 whale levels for Bitcoin”

According to the share of WhaleMap, BTC has witnessed whale accumulations at $ 20,380 so far. For this reason, the mentioned level turned into a type of resistance produced by whales. In addition, this resistance is currently working in a very good condition. Bitcoin has been rejected several times to date at $20,380. Whalemap said in detail:

“Our basis has not changed since the $30,000 drop. This base is located at $19,174. The domain was established on June 18, 2022, with the accumulation of 101,300 BTC by whale wallets. However, whales also established other resistances at $20,380 and $21,543. In terms of Bitcoin, for the rise, first of all, the $ 20,380 that the whales have been waiting for needs to be reclaimed.”

WhaleMap also reviews the technical analysis for BTC. Accordingly, Bollinger Bands narrowed in the daily time frame. BTC futures open positions have reached a near-record high of over 604,000. Also, the price is trading outside a long-term trendline resistance. According to WhaleMap, all this points to the beginning of a biased movement.

“Cryptocurrency market may be preparing for another downturn”

As the chart below shows, investors’ risk appetite continues to decline. Assets that broke out and were sold by investors during the bear market consist of cryptocurrencies. According to Whalemap, it is not surprising that risk assets are sold in times of crisis. However, the firm warns that it could witness a new sell-off due to the recent volatility seen in Bitcoin and altcoins, stocks, the FED’s hawkish money policies and increased sales.

What levels are next for Bitcoin?

Currently, Bitcoin and the broader crypto market have a number of bullish and bearish factors. These factors are located in a region where the trend can determine its next direction. As noted by Delphi Digital, BTC is currently following the trajectory of previous market cycles. This similarity is especially increasing in the 2018 cycle.

There are Bitcoins, crypto market and stock metric showing consolidation and supporting the possibility of a relief rally in the short term. But the general trend is downside. If stocks see some relief and rise, the tight correlation between BTC and equity markets would suggest a exemplary form of price action in crypto. However, it is possible for a Bitcoin relief rally to end at $27,500, where the 200-day moving average is located.

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