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Bitcoin Price Returns To $16K Amid BTC Whale Sell Warning

Bitcoin Price Returns To $16K Amid BTC Whale Sell Warning

Bitcoin (BTC) surged higher at the Wall Street open on Nov. 22 after hitting another two-year low.

Hourly candlestick chart BTC/USD (Bitstamp). Source: Trading View

The Thanksgiving Buywall is $12,000.

Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it re-crossed $16,000 to set a low of $15,480 on Bitstamp.

The momentum lifted the pair to $16,189 before consolidating, marking a 3.7% gain from daily lows.

Conversations between analysts continued to center around the Digital Currency Group family, including Grayscale, now at the center of the rumors about the fallout from the defunct FTX exchange.

For monitoring material indicators of resources, a $12,000 “protection rate” could end up protecting the market if there is a major capitulation during the Thanksgiving holiday period.

“More than $300 million of BTC liquidity between here and $12k,” he commented on a CryptoQuant post. participant Martun.

“This new $70 million buy wall could be a holiday week fence, it could be related to speculation on a grayscale ad or something. Regardless, we are always on the lookout for new walls of major purchases.”

BTC/USD order book data (Binance). Source: Maartunn/Twitter

Maartunn has uploaded a heatmap of the Binance order book showing various active buy and sell levels.

Meanwhile, as Cointelegraph reported, BTC/USD downside targets were mostly centered around $14,000 or less earlier in the week.

BTC holders feel the pressure

Other growing concerns have been related to long-term holders (LTH) of bitcoin.

Related: ARK Invest Kathy Wood Adds More Bitcoin as GBTC, Coinbase Shares Hit New Lows

In its latest weekly newsletter, “The Week On-Chain,” analytics firm Glassnode warned that old-hand “non-trivial costs” are on the rise.

“Their supply is down 84,560 BTC after FTX, which remains one of the biggest drops in the last year,” it noted, adding that the decline “is still ongoing.”

Similarly, BTC’s biggest investors, the whales, have also been engaged in net distribution of coins in the market, despite previous data showing that some entities have already started buying on the dip.

“The whale cohort is currently in net distribution mode, sending 5k to 7k surplus BTC to exchanges,” Glassnode added.

“At the same time, the outflow of coins from exchanges by almost all cohorts is at a record high level. The turbulent impact of the FTX crash continues to be felt, and it remains to be seen how widespread the shock to investor confidence was.”

BTC supply is held by an annotated LTH chart (screenshot). Source: glassnode

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