Key Insights:
- Traders watch to see the impact of the March 1 White House internal deadline on negotiations for the Clarity Act on Bitcoin price
- Analyst Willy Woo predicted a BTC price rebound around $70,000, and a price bottom towards $45,000
- Bitcoin formed major liquidation clusters at $69,000 and $66,000
Bitcoin price in the spotlight as whale transfers have hit the highest level reached since January 2021. The spike in BTC whale transfers comes ahead of the White House’s March 1 internal deadline related to Clarity Act negotiations.
Analysts interpret the whale spike as bullish, amid a decrease in selling pressure. Some have highlighted price zones, while Bitcoin formed liquidation clusters.
The BTC Whale Transfer Outlook
Onchain data analytics platform Santiment posted a chart on X, showing a spike in Bitcoin whale transactions. Specifically, whale transfers valued at $100,000 across Bitcoin hit a 5-year high.
A visible red arrow on the chart highlights 14,686 BTC whale transactions in a single 12-hour candle. This occurred around early February, coinciding with elevated volatility and marks the highest level since January 2021.
Analyzing the chart, Santiment claimed whales are positioning ahead of the March 1 White House internal deadline on negotiations for the Clarity Act.
Santiment emphasized that Clarity remains important for crypto as it aims to provide clearer regulatory guidelines. Clearer guidelines would reduce uncertainty and could unlock more institutional adoption.
In the crypto market, whales refer to entities holding large amounts of crypto. Their large transfers can signal accumulation, distribution, or repositioning, and spikes relative to baseline activity often precede market shifts.
Accordingly, Santiment expects a big jump in whale activity in early March as large players hedge, accumulate, or sell based on the outcome.
Santment also referenced a fading drama related to Jane Street. This includes a lawsuit from Terraform Labs accusing Jane Street of insider trading related to the 2022 TerraUSD (UST) collapse. Additionally, conspiracy theorists accused Jane Street of systematically suppressing Bitcoin prices through daily 10 a.m. ET dumps.
Willy Woo on Bitcoin Price Action
Amid the Bitcoin price speculations, on-chain analyst Willy Woo shared a detailed analysis. According to the analyst, the recent wave of selling by investors appears to have run its course. He therefore expects sideways consolidation for about a month, possibly followed by a rebound to around $70,000.
The analyst, however, warned that this rebound would hit resistance and reverse downward, preventing a sustained rally. Woo pointed to a heavily bearish environment, where both spot and futures liquidity are worsening, as the main challenge.
Woo claimed BTC has never staged a genuine rally when both are weak simultaneously. His comment implied no quick turnaround without liquidity improvement. As such, he predicted the end of the bearish trend around Q4 2026, when flows might stabilize. He also predicted a bearish bottom around $45,000.
The analyst views $45,000 as the realistic low point where selling might exhaust, and buyers return, based on historical patterns.
Bitcoin Price Liquidation Zones to Watch
Meanwhile, Bitcoin price has formed major liquidation clusters as seen in the 24-hour CoinGlass Liquidation Heatmap.
CoinGlass highlighted the buildup of short positions, with liquidation prices clustered around $69,000. If BTC pushes above $69,000, these shorts get liquidated, creating buying pressure and a potential short squeeze.
Additionally, CoinGlass spotlighted a large stack of long positions, vulnerable around $66,000. If price drops below their stops, these longs liquidate, accelerating downside risks for BTC.
Currently, the BTC is trapped between these two zones. This sandwich creates tension, with limited breakout potential until one side gets hit. A decisive move, either breakout or breakdown through one cluster, would liquidate that side massively, creating a chain reaction.
At press time, Bitcoin price was traded at $66,361, demonstrating a decrease of 2.6% over the previous day. The trading volume also dropped more than 20%, suggesting declining retail accumulation.