Bitcoin (BTC) Price Falls Sharply After Brief Rebound to $32K Level

• Bitcoin has been down 5.15% in the last 24 hours.
• In June, BTC is expected to reach the 200-WMA at roughly $23k, based on past trends.

New all-time high BTC balances for a specific Bitcoin address category were revealed by IntoTheBlock when Terra dumped its Bitcoin into the market in early May. According to the most recent tweet from the on-chain data provider, wallets that have been holding Bitcoin for more than a year have achieved a new record high. These wallets currently have 12.73 million Bitcoin.

An incredible 250,000 Bitcoins have been obtained by the owners of these wallets since May 7, according to the team behind IntoTheBlock. Luna Foundation Guard (LFG), the group behind Terra’s LUNA currency and UST algorithmic stablecoin, started selling its Bitcoin stockpile or “lending to market makes” on or around May 7.

To keep its UST stablecoin pegged, LFG sold $1.5 billion worth of Bitcoin on the open market. Using today’s BTC/USD conversion rate of $30,449 per Bitcoin amounts to a massive value for the 250,000 Bitcoins. On the other hand, the 12.73 million BTC owned by the wallets above totals $405,090,241,000,000.

Further Correction Around the Corner

In the opinion of Rekt Capital, the BTC price will form a bottom around roughly $23k near the 200-week moving average of the Bitcoin price (200-WMA). Since the 200-WMA has historically generated major double bottoms in Bitcoin’s price history, the current rebound may be short-lived.

In June, BTC is expected to reach the 200-WMA at roughly $23k, based on past trends. While historically, Bitcoin macro double bottoms have occurred before the Bitcoin Halving, it is expected to occur after the Bitcoin Halving in April of 2024. According to CMC, the Bitcoin price today is $30,442.30 USD with a 24-hour trading volume of $32,935,332,449 USD. Bitcoin has been down 5.15% in the last 24 hours.