»The sale of bitcoin is just beginning

11 January 2021

2 minute read

“Crypto-whales” are preparing for a massive sale of bitcoins, according to the analytical company Material Indicators.

Last Thursday, for the first time in history, bitcoin rose above the $ 40,000 mark. On Friday, the first cryptocurrency approached the $ 42,000 level, below which it consolidated until the end of the week.

Researchers at cryptanalyst company Material Indicators are paying attention to Bitcoin’s sharp pullback from $ 40,000 on Thursday, when BTC fell to almost $ 36,000, losing 10% at the moment.

According to experts, such a sharp decline was a direct result of sales by large investors, coinspot writes. Around $ 36,000, support intensified and the fall was quickly bought back.

Material Indicators are expecting a larger pullback in the very near future. The “whales” controlling bitcoins worth up to $ 1 million will move to the probable profit-taking.

The WhaleMap team also drew attention to the alarming signal. She believes that if bitcoin falls below $ 39,719 (support zones) and then drops below $ 38,700, we face a larger drop. In this case, the market will come under the control of bears, which can cause BTC to fall to $ 32,000.

Another assumption was voiced by Sonny Singh, commercial director of the Bitpay cryptocurrency payment system, writes RBC. He warned that the BTC rate could plummet to $ 20,000.

This will happen if large institutional investors who bought cryptocurrency during the crisis start selling it and taking profits. In this case, a sale of “unprecedented proportions” is possible.

Meanwhile, cryptocurrency analyst Josh Rager believes bitcoin is on track to reach $ 50,000.

Bloomberg analyst Mike McGlone expects the rate of the first cryptocurrency to rise to $ 50 thousand in 2021, and its capitalization to $ 1 trillion. This scenario is more likely than a fall in the price of BTC to $ 20,000, the expert said.

Earlier, the former analyst of investment banks Bear Stearns and JPMorgan Ton Weiss predicted that this year bitcoin could rise to $ 100 thousand. The trader called this a “conservative” scenario, noting that under favorable circumstances, the coin’s price may rise to $ 200 thousand and even $ 300 thousand.