If history is to repeat, Bitcoin price should continue its upward trajectory following the most recent crash
With Bitcoin price close to the $ 50,000 mark at press time, after falling from $ 64,000 a few days ago, it’s time for the whales to make more. The aforementioned price drop was fueled by news of the Biden administration’s plans and selling pressure thereafter.
BTC/USD 4-hour chart | Source: TradingView
If history is any indicator, Bitcoin price could point towards recovery after the most recent price drops
Bitcoin’s price has been falling over the past few days, down almost 20% in the past week. This worries many people if the 2021 bull run ends. An indicator shows that if history repeats itself, the price will continue its upward trajectory after the most recent crash.
Bitcoin has seen a dramatic drop over the past few days as the price has lost $ 12,000 from the previous week. This has also seriously altered overall sentiment, as indicated by the prevalent index of fear and greed.
For comparison, last week the market was in a state of “extreme greed,” and now, just seven days later, after the drop, the indicator shows “fear.” The current state of the market has reached several times in the past few months, and each time it happens, the price rises again immediately after.
If this persists, bitcoin will soon rebound again, otherwise, it is certainly a change in pattern. Another thing to consider is the inflow of USDT capital into exchanges. Data from Glassnode reveals that we have just seen the largest USDT deposit for exchanges since the start of February.
The CIO of Moskovski Capital, Lex Moskovski, in a recent tweet, with the same reflecting a giant spike in USDT accumulation on exchanges.
Moskovski tweeted:
$2.37B of $USDT were deposited on exchanges yesterday.
That torrent of money is second only to Feb, 3 that preceded Tesla’s Bitcoin announcement.
The dip is getting bought. pic.twitter.com/625YahsCTk
— Lex Moskovski (@mskvsk) April 24, 2021
Some analysts believe this is a sign that institutions and whales are buying into the current bull run.
You can see the BTC price here.
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