Bitcoin whale bags BTC worth $31 million – Are the bulls back?

• Following the consolidation breakdown, there is a high possibility that BTC could fall to the $54,600 level.
• If BTC falls to the $56,850 level, nearly $721 million worth of long positions will be liquidated. 

As the cryptocurrency market continues to struggle, whales have increased their buying activity.

On the 16th of August, a newly created wallet withdrew a significant 533.5 Bitcoin [BTC] worth $31 million from Binance [BNB], the world’s biggest cryptocurrency exchange at the 58,188 level, per Spot On Chain.

Whales’ interest in Bitcoin

This post has gathered significant attention from the crypto community. The market is down, and whales are seeing this price decline as an opportunity. 

Additionally, Spot On Chain noted that six whales have accumulated a significant 4,046 BTC and WBTC worth $239.5 million from centralized exchanges (CEXes) this week.

However, in the last 24 hours and over the past seven days, BTC’s exchange reserves have declined by 0.37% and 0.47%, respectively.

On the other hand, due to the high volatility, the number of active addresses has dropped by 27.6% in the last 24 hours, according to the on-chain analytic firm CryptoQuant.

How is BTC faring?

At press time, Bitcoin was trading near the $58,430 level, having remained stable over the last 24 hours. Its trading volume has increased by 6% during the same period, indicating higher participation of investors.

Additionally, BTC’s Open Interest rose by 2% in the last 24 hours, signaling increased curiosity among traders during this time.

According to AMBCrypto’s technical analysis, BTC looked bearish, as it was trading below the 200 Exponential Moving Average (EMA) on a daily time frame.

Also, the king coin has given a breakdown of the consolidation zone between $61,800 and $58,500. Following this breakdown, there is a high possibility that BTC could fall 6.5% to the $54,6000 level in soon. 

Source: TradingView

As of press time, the two major liquidation levels were near $56,850 on the lower side and $59,000 on the upper side, according to the on-chain analytic firm Coinglass.

Source: Coinglass

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If the bearish sentiment continues and the price falls to the $56,850 level, nearly $721 million worth of long positions will be liquidated.

Conversely, if the sentiment changes and the BTC price rises to the $59,000 level, nearly $581.3 million worth of short positions will be liquidated.