The leading cryptocurrency, Bitcoin (BTC), reached its highest value ever on March 6, climbing above $69,000. However, this trend changed when the prices of leading cryptocurrencies significantly dropped.
Historic Levels for BTC
After touching a new all-time high (ATH), the cryptocurrency experienced a correction with a drop of more than 6% in the last 24 hours. According to data from the website 21milyon.com, at the time of writing, BTC is trading at $64,488.27 with a market value of over $1.27 trillion. While the price of BTC is falling, large-scale holders continue to accumulate. According to a recent tweet by IntoTheBlock, big Bitcoin holders increased their assets by 4177 BTC in the last seven days, which is worth more than $279 million at current prices.
Ali Martinez, a popular crypto analyst, revealed that while whales continue to stock up, a significant amount of BTC has been liquidated. The tweet mentioned that approximately $164 million worth of Bitcoin long and short positions were liquidated in the last 24 hours. According to CryptoQuant data, BTC’s exchange reserve is increasing. Additionally, BTC’s net deposits on exchanges were also high compared to the seven-day average. These two metrics could indicate high selling pressure on the cryptocurrency.
Analytical Reports on BTC
However, data from Santiment tells a slightly different story. According to the analytics firm, the supply of BTC on exchanges has decreased. Additionally, the supply of the cryptocurrency outside of exchanges has slightly increased, which could mean that investors are still buying BTC even after the price dropped below $64,000. Derivative investors found the right opportunity to buy more BTC despite the token’s price drop, indicated by the high funding rate.
Furthermore, the buyer-to-seller ratio remained on the rise, which could mean that buying sentiment is dominant in the futures market. On the other hand, BTC’s social volume remained high, which can be attributed to the recent volatility in price. Since the price of the cryptocurrency has fallen, the bearish trend around the token has increased, as can be seen from the decline in weighted sentiment.
