- BTC could rise to $67,269 in the first phase of the predicted upswing
- Liquidation levels showed a bearish trend that may soon be invalidated
Things may have changed for Bitcoin [BTC] after completing its 4th halving. However, when it comes to price, the more things change, the more they stay the same. AMBCrypto came to this conclusion after tracking its coin transfers to derivatives exchanges. According to data from CryptoQuant, the number of BTC sent to derivatives exchanges has increased significantly.
Specifically, we observed that this was the work of whales. When this happens quickly in the past, it means whales are preparing to open long positions in Bitcoin.
Source: CryptoQuant
Big guns become aggressive
The pseudonymous on-chain analyst datascope also commented on the activity. According to datascope, which shares its thoughts on CryptoQuant,
“The increase in transfer rates of Bitcoin from exchanges to derivatives exchanges is considered an important indicator. Recent data suggests that these types of transfers have been a significant factor in the rise in Bitcoin prices.”
The price of Bitcoin was $63,572 at press time. It is worth noting that before the halving, AMBCrypto had argued that the number one cryptocurrency could already be priced in.
However, based on our latest analysis, the standoff could be turning to the upside. Liquidation levels are an indicator of this forecast.
Liquidation levels indicated estimated price levels at which a liquidation event could occur. For comparison, a liquidation occurs when an exchange forcibly closes a trader's position. This is either due to an insufficient margin balance or a high leverage bet that went in the opposite direction.
At press time, a liquidity cluster of $65,434 to $67,269 was showing, suggesting that Bitcoin price could target these levels in the near term.
Another thing we noticed was that there has been aggressive buying since the break below $64,000. As buying pressure increases, long positions with low leverage could soon be rewarded.
Bears will not survive what is coming
Finally, we looked at the Cumulative Liquidation Levels Delta (CLLD). At the time of writing, the CLLD was positive. Negative values of CLLD indicate more short liquidations.
On the contrary, a positive value means that there have been more long-term liquidations. However, this indicator also has a certain influence on the price.
Source: Hyblock
From the above evidence, it can be seen that CLLD has a bearish trend. However, if whales enter their orders with the current liquidity, the signal could reverse.
In this situation, the price could fall and trigger some stop losses. And yet the price could rise again as soon as some of the liquidity has flowed out.
Read Bitcoins [BTC] Price prediction 2024-2025
If this is the case in the future, Bitcoin could recover and reaching $75,000 could be an option in the medium term. However, in the short term, BTC could fall below $63,000 before the pump begins much later.
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