Bitcoin (BTC) is currently experiencing strong demand across all market participants, with whales on Binance showing confidence by refraining from selling. After dropping to a local low of $74k a week ago, Bitcoin has made a significant recovery, reaching a high of $86k. This uptrend reflects a shift in market sentiments, especially among large entities like whales. Data from CryptoQuant shows that whales on Binance are maintaining composure and not showing signs of panic, with whale inflow values dropping by over $3 billion over the past thirty days, similar to previous corrections in 2024.
Moreover, the Exchange Whale Ratio and whale inflows on Binance are decreasing, indicating a shift in market sentiment and a recovery in confidence among large holders. Short-term holders (STH) on Binance are also reducing their selling pressure, with BTC inflows from STHs steadily decreasing. This decrease in selling pressure suggests a positive signal for Bitcoin, as demand for the cryptocurrency rises. Bitcoin’s Apparent Demand (30-day sum) has started to bounce back from deeply negative territory, hinting at a potential shift in market behavior.
As buyers start to take control of the market, reflected in the Taker Buy Sell Ratio reaching 1.07, it suggests higher demand and a pause in selling pressure, potentially leading to a shift in momentum. This shift in market dynamics, with reduced selling activity from whales and short-term holders, indicates a possible trend reversal for Bitcoin. The Fund Flow Ratio also shows limited engagement with exchanges for selling, highlighting that holders are refraining from aggressive selling.
With reduced selling activity and increased demand, Bitcoin’s outlook appears promising for sustained recovery. Historically, low selling pressure combined with rising demand has often resulted in price increases. If current market conditions remain stable, Bitcoin could aim to reclaim key resistance levels at $87,167 and potentially target $88,600. However, if volatility increases and sellers regain control, Bitcoin may face a correction, dropping to $82,460. Overall, the market sentiment suggests a positive trend for Bitcoin, with potential for sustained gains in the near future.
