Bitcoin Hits 2021 Peak Again: How BTC Whales are Plotting a Different Course This Time

Key Points

• Bitcoin has seen consistent buying pressure from long-term holders and less selling from short-term holders.
• Despite Bitcoin trading above $100k, public interest remains low as per Google Trends.

Bitcoin continues to experience consistent buying pressure from long-term holders, while short-term holders have reduced their selling.

The continued negative exchange flow signals accumulation.

Investor Confidence in Bitcoin

Investors in Bitcoin (BTC) have maintained their belief in its bullish potential. Despite the crypto trading above the $100k mark, public interest remains low, as indicated by Google Trends.

On-chain data presents a different narrative from the chatter on social media platforms. For instance, the BTC Exchange Flow has remained negative.

This negative netflow, due to sustained Bitcoin withdrawals from exchanges since March, indicates investor confidence.

Signs of Bullishness

The steady negative Exchange Netflow is a bullish signal, but it’s not the only one. Short-Term Holders have also begun reducing their profit-taking.

The Short-Term Holder Profit to Exchanges metric shows a sharp decline in profit flows over the last two weeks.

This decrease in STH sellers, even as Bitcoin trades around the $105k mark, indicates a bullish trend.

In contrast, long-term holders have been accumulating Bitcoin. The 30-day Net Position Change flipped positive in April, indicating that whales and large investors have stopped selling BTC and started accumulating.

This increase in holdings from long-term players suggests they expect a bullish trend in the coming weeks.

This expectation isn’t without precedent. Past net position growth for LTHs has been followed by swift rallies, suggesting another could be on the horizon.