Bitcoin tries to salvage declines, and here is a promising sign to watch per Santiment
On-chain analytics platform Santiment reports that Bitcoin has remained closely pegged to equities as traders await a breakout sign. Santiment notes that skewing toward Gold and decoupling from stocks might be a positive sign for a Bitcoin recovery.
? Global stocks are starting the week in the red yet again, with #SP500 futures down more than -2% as #war concerns loom. #Bitcoin has remained closely pegged to #equities, as traders await a breakout sign. Pay close attention to this relationship. ? https://t.co/06MTkomsnw pic.twitter.com/mVpiBp4Q0x
— Santiment (@santimentfeed) February 28, 2022
The Bitcoin price is attempting a foothold near the $38K mark on Monday, hinting at higher inflation ahead.
Charlie Bilello, founder and CEO of Compound Capital Advisors, tweeted that the Fed’s balance sheet has hit another record high at $8.93 trillion, more than doubling over the past two years as the Fed continues bonds buying. U.S. inflation also hit a 40-year high in the present month.
US Inflation hit a 40-year high this month and the Fed is still buying bonds. Their balance sheet hit another record high this week at $8.93 trillion, more than doubling over the past 2 years. New Fed policy: throw fuel on the inflationary fire.
Charting via @ycharts pic.twitter.com/FlwNuog4Zr
— Charlie Bilello (@charliebilello) February 27, 2022
At press time, Bitcoin was changing hands near $38,315, representing a near 1% gain on the day. Earlier, prices dropped to lows of $37,020 on Feb. 27, indicating negative cues to traditional markets.
Bitcoin accumulation switches to retail holders
On-chain analytics firm Glassnode reports most Bitcoin wallet cohorts are now in net accumulation, with smaller holders being the most aggressive.
Most #Bitcoin wallet cohorts are now in net accumulation, with smaller holders being the most aggressive.
This heatmap presents the #Bitcoin accumulation score for each wallet cohort.
? indicates entities are adding to their balance.
? indicates entities are not accumulating. pic.twitter.com/sVp7SV6yHy— glassnode (@glassnode) February 28, 2022
Shortly after whales’ actions, retail investors seem to be scooping up Bitcoin tokens at a discount amid the present market volatility concerning short-term price action for cryptocurrencies.
On-chain analytics, firm Santiment earlier reported massive Bitcoin accumulation for whales when Bitcoin marked lows at $34,322, noting the largest amount of transactions larger than $100,000 and $1 million since Jan. 24.
As Bitcoin prices bottomed out at $34.7k, whales have made some MASSIVE transactions. This has been the largest amount of both $100k+ and $1m+ $BTC transactions since Jan. 24th, when prices jumped +15% the week following.
Source: https://u.today/bitcoin-attempts-recovery-from-dip-here-is-a-positive-sign-to-watch-per-santiment