Bitcoin Whale Move Sparks Uncertainty Amid Price Correction
A recent correction in Bitcoin's price has led to a debate among market participants about whether it is just another shakeout of weak hands or a deeper correction.
On-chain data suggests that the scenario of a weak hand shake-out is plausible, as BTC's almost 2% pullback has caused its price to approach $82k after the weekly wick failed to reclaim $87k. This created an environment for a liquidity sweep, forcing leveraged longs to unwind their positions.
The amount of long liquidations crossed above $250 million, representing the largest flush in almost a week, according to Coinglass. However, this has not yet fed through to the ETF market, with demand for Bitcoin still in check.
A new risk has been added to the current 2% correction with the latest move of a dormant whale transferring 4,500 BTC worth $378.79 million. The wallet was inactive for more than four years before this sudden movement.