Bitcoin’s price fell to $81,222, signaling a possible end to its recent upward trend, while whale accumulation patterns resemble those seen in the 2020 bull run. Analysts note that Bitcoin whales holding significant amounts are actively acquiring more BTC, suggesting their confidence despite market volatility. Upcoming U.S. economic events could further influence Bitcoin’s price dynamics as it seeks to establish $84,000 as a support level for future growth.

Over the weekend, Bitcoin’s (BTC) price fell below its ascending channel to reach $81,222 on March 31. Presently, the cryptocurrency is on course to experience its poorest quarterly performance since 2018. However, a notable accumulation trend among whale entities is reminiscent of bullish behaviors seen during the 2020 bull run.

Onchain analyst Mignolet indicated that whale addresses holding between 1,000 to 10,000 BTC are closely aligned with Bitcoin’s price, exhibiting resilience amidst market fluctuations and accumulation behaviors. These actions mirror the characteristics observed during the previous bull cycle in 2020.

This accumulation trend among Bitcoin whales has surfaced three times in the current market, coinciding with periods of negative sentiment from retail investors. Historical patterns suggest that these whales are positioning themselves in anticipation of a market recovery, even as BTC prices face declines. Mignolet noted, “There are no signs yet that the market-leading whales are exiting.”

At the beginning of the New York trading session on March 31, Bitcoin rebounded, addressing the CME futures gap that emerged over the weekend. This gap is defined by the difference between Bitcoin’s closing price on Friday and its opening price on Sunday evening. This bullish start to the week, however, could be influenced by several upcoming U.S. economic events.

Key economic indicators include the JOLTS Job Openings report on April 1, which reflects labor market demand. Additionally, the U.S. tariff rollout, dubbed “Liberation Day,” scheduled for April 2, will impose new tariffs on several countries. Furthermore, critical data including non-farm payrolls (NFP), unemployment rates, and a speech by Federal Reserve Chair Jerome Powell are anticipated on April 4.

Bitcoin’s primary objective is to convert the $84,000 resistance level into support for sustained bullish momentum. Achieving this could help push BTC prices beyond the 50-day exponential moving average, potentially leading to a short-term surge towards the supply zone between $86,700 and $88,700. Conversely, failing to maintain above $84,000 may reinforce its resistance, leading to further corrections towards lower liquidity areas around $78,200 to $76,560.

In conclusion, the Bitcoin whale accumulation trend suggests bullish potential similar to that of the 2020 market. Despite short-term price declines, whale activities indicate sustained confidence in the market. Additionally, crucial economic events in the near term may influence Bitcoin’s trajectory, emphasizing the importance of observing price levels and market sentiment. Achieving and maintaining the $84,000 support level may prove pivotal for BTC’s upcoming performance.

Original Source: cointelegraph.com

Related posts:

Bitcoin Whale Accumulation Resembles 2020 Bull Market Amid Price Fluctuations Bitcoin’s Market Outlook: Impact of U.S. Elections and Fed Rate Decision Cryptocurrency Market Sees $1.4 Billion in Liquidations Amid Bitcoin Decline QCP Capital Analyzes Current Market Trends: Inflation, Bitcoin Volatility, and Options Strategies