Significant whale action between $22,000 and $24,800 complicates the existing spot market configuration.
Bitcoin (BTC) consolidated lower on August 9 following the maintenance of a multi-month trading range by familiar resistance.
Bitcoin scales the price ladder of whales
Overnight, according to TradingView data, BTC/USD fell below $24,000 after rejecting near $24,200.
As the upper boundary of the trading range in place since mid-June drew closer, the pair’s impetus began to wane.
As a result, bulls were unable to recapture new territory or even approach the highs set at the end of July, and the status quo persisted. At the time of writing, the BTC/USD exchange rate was consolidating around $23,800.
For the on-chain analytics resource Whalemap, realised price was now forming significant resistance levels.
In an August 8 Twitter post, Whalemap, a service that tracks the buys and sales of high-volume players to construct potentially solid support and resistance zones, showed the various prices at which the BTC supply had most recently moved.
A supplementary graphic broke down realised price by wallet size and indicated the price at which BTC belonging to specific whales last left their wallet.
“Realized price bands are the primary factor providing Bitcoin with resistance at the moment,” the Whalemap team noted in accompanying commentary.
“Confidently surpassing $24,825 and consolidating should be the key to further gains”
Other levels of support and resistance in action this week include the 100-day and 200-week moving averages, as reported (MAs).
Credible Crypto, a prominent trader, anticipates a deeper decline, which might reach $23,360 without disturbing the low-timeframe trend.
Front ran local demand and followed the green path with a break of our red region. That being said, not totally convinced that this ltf corrective structure is complete. Want to see more PA develop. Also will be traveling so won't be as active for the next few days! $BTC https://t.co/F41n8JAWqO pic.twitter.com/rhZRPpMRsR
— CrediBULL Crypto (@CredibleCrypto) August 8, 2022
“Looking for that flip into support for one more macro push up to send it,” Crypto Tony, a fellow trader, added in a more bullish assessment of the range high.
Wednesday’s inflation data did not affect the markets.
In the meantime, potential volatility remained on the radar, with imminent U.S. inflation data due on August 10 topping traders’ list of market triggers to monitor.
On the opening trading day of the week, however, U.S. markets exhibited little worry, with the S&P 500 finishing flat and the Nasdaq Composite Index gaining 0.4%.
I have pointed out in the past that China CSI 300 is possibly frontrunning #crypto and the American stock markets. Be aware that the current crypto rally could retrace a lot since the S&P 500 is now close to resistance ☝️ pic.twitter.com/uv5tUESPNK
— BTCfuel (@BTCfuel) August 8, 2022
In a recent macroeconomic analysis, the popular Twitter account BTCfuel urged caution. Losses in China, it cautioned, might precede a U.S. copycat move, which would impose extra pressure on crypto markets that are heavily correlated.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
