Bitcoin Price News: BTC Price Retest Crucial Support Level Above $95.5K amid Mixed Reactions from Whale Traders

The US spot Bitcoin ETFs registered the second consecutive week of cash outflow amid low volatility and a Gold price surge.

Steve Muchoki By Steve Muchoki Julia Sakovich Edited by Julia Sakovich Updated 3 mins read
Bitcoin Price News: BTC Price Retest Crucial Support Level Above $95.5K amid Mixed Reactions from Whale Traders
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Key Notes

  • The altcoin industry has continued to bleed to Bitcoin amid heightened risks of rug pulls and web3 protocol hacks.
  • Bitcoin price is about to experience heightened volatility ahead after consolidating in the past three weeks.

Bitcoin price BTC $82 079 24h volatility: 1.4% Market cap: $1.63 T Vol. 24h: $18.78 B opened the last week of February with a bearish outlook, after gradually losing the bullish momentum in the past four weeks. The flagship coin, with a market cap of about $1.9 trillion and a 24-hour average trading volume of around $23.3 billion, has, however, established a robust support level above $95.5K in the past three weeks.

As Gold price continues to scale higher, trading around its all-time high of around $2,945 per ounce on Monday, Bitcoin price has signaled a possible market shift ahead. In the daily time frame, Bitcoin price has been forming a potential inverted head and shoulders (H&S) pattern, coupled with a rising divergence of the Relative Strength Index (RSI).

From historical trends, it is safe to assume that Bitcoin price is experiencing a calm before the storm. According to crypto analyst Michaël van de Poppe, BTC price is likely to rebound towards its all-time high in the next two weeks.

The short-term Bitcoin recovery will be invalidated if BTC price consistently closes below the established support level of around $95.5K. In such a scenario, the BTC price will likely retest the lower border of a horizontal consolidation channel around $92K, which has been established since November 2024.

Bitcoin Whales Remain Skeptical of Heavy Accumulation

According to on-chain data analysis, the Bitcoin network experienced a mixed reaction from whale investors in the past week. For instance, the US spot BTC ETF issuers recorded the second consecutive week of cash inflow after bleeding around $559M last week and around $585M in the previous week.

Nonetheless, on a wider scale, whale investors have aggressively accumulated more BTCs in the past year than any other year. In the past week, a total of 10,901 BTCs were withdrawn from centralized exchanges (CEXes), thus the current supply hovering around 2.22 million units.

Bigger Picture

In the past year, Bitcoin has been in a price discovery phase catalyzed by favoring fundamentals. The ongoing discussions by nation-states, led by the United States, to follow in the footsteps of El Salvador has strengthened the Bitcoin network.

Furthermore, 160 entities, led by publicly traded companies such as Strategy (NASDAQ: MSTR), have accumulated more than 3.1 million BTCs in the recent past. Additionally, the involvement of institutional investors in the Bitcoin mining sector has increased the overall hashrate to about 721.5 Ehash/s, up from 1 Ehash/s in February 2016.

With the overall decline of Bitcoins for sale on CEXes and OTC platforms, the notable imbalance against the ballooning buying pressure will trigger a mega bull rally in the coming years, and potentially overtake gold’s market cap.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

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Steve Muchoki
Author Steve Muchoki

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