Bitcoin continues to consolidate and make its way towards the $100,000 zone with each passing day.
According to Santiment, the whales are buying massively, while the retailers are selling.
Data from Farside shows that since 26 March, U.S.-based spot ETFs have seen inflows of around $4.41 billion.
BitFinex noted recently that the $95,000 zone could set the stage for a retest of the $109,000 all-time high from earlier this year.
A break below this price level could result in a massive bloodbath.
Bitcoin continues to consolidate and make its way towards the $100,000 zone with each passing day.
Meanwhile, under the hood, something interesting is happening.
According to insights from Santiment, while smaller retail investors are jumping ship and selling their assets, the large holders (or whales) seem to be doubling down on their bets.
This difference in market behavior could be an early sign of Bitcoin’s next move, and here are a few things to note.
According to Santiment, wallets holding between 10 and 10,000 BTC have added 81,338 Bitcoin to their holdings in just the past six weeks. This accumulation started on 26 March and stands at about a 0.61% increase in holdings among this cohort.
Such a trend is largely interpreted as a bullish signal because this cohort of investors tends to have access to better information and resources.
As a result, they tend to think over the long term. When they buy, Bitcoin just might have a bullish chance.
Santiment noted, “When large wallets gradually accumulate in tandem with retail panic selling/selling out of boredom, it is generally a strong long-term sign of prices biding their time before another breakout.”
The other side of the coin involves the retail investors. Retail investors, particularly those holding less than 0.1 BTC, have been selling off.
Santiment notes that around 290 BTC have been sold by these smaller wallets since 26 March.
While this number seems small compared to the general market, it shows that retail investors are indeed growing impatient due to Bitcoin’s inability to break above the $100,000 mark.
At the current pace of Bitcoin (which is hovering around $96,000 at the time of writing), there is a clear tug-of-war between institutional conviction and retail uncertainty.
Meanwhile, another encouraging sign for Bitcoin bulls is the demand from spot Bitcoin ETFs.
Data from Farside shows that since 26 March, U.S.-based spot ETFs have seen inflows of around $4.41 billion.
Still, as encouraging as this factor is, technical analysts still have their eyes on the $95,000 zone.
According to Bitfinex, this price level is a major price point that could determine whether or not Bitcoin makes it towards its new all time highs, or suffers another crash.
Bitcoin needs to stay above $95,000
Bitfinex notes that this level could stand as a structural shift back into bullish territory and set the stage for a retest of the $109,000 all-time high from earlier this year.
A breakdown below this threshold, however, could flip the $95K level into resistance and lead to downward pressure.
Meanwhile, the recent price action has pushed the Crypto Fear & Greed Index back into “Greed” territory, with a score of 67.
This shows that the general market sentiment is becoming more optimistic as Bitcoin inches closer to six figures.
Overall, as Bitcoin inches toward the $98,000 zone, short sellers may find themselves in a bit of a pickle soon.
According to crypto analyst Thomas Fahrer, nearly $400 million worth of short positions could be liquidated if BTC crosses $100,000.
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