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"Smart Money" tracking service @lookonchain has shown a possible reason for the recent Bitcoin fall. This was a whale who moved a large amount of BTC to a major exchange.
Curiously, over the past 24 hours, miners have also sold a large amount of Bitcoin, according to another source.
Bitcoin price drops after this whale moves BTC
On May 18, the flagship cryptocurrency printed several red candles, one of them pretty big, which took the price down 3.25%. The aforementioned source stated that after this, Bitcoin plunged, hitting the $26,500 zone.
The whale transferred 1,750 BTC to Binance — this is worth $48 million. @lookonchain stated that when the same wallet moved 5,791 BTC (the equivalent of $163 million), the price of Bitcoin also went down substantially.
The price of $BTC dropped ~3% again after this whale moved. 🧐https://t.co/aIRsebH12n pic.twitter.com/jrKdBKybbK
— Lookonchain (@lookonchain) May 19, 2023
The amount of BTC sold by the wallet mentioned above strangely coincides with the BTC chunk sold by miners on Thursday.
Miners dump big chunk of Bitcoin
Crypto analyst Ali Martinez has tweeted that within the past 24 hours, Bitcoin miners have dumped roughly 2,000 BTC on the market; this is around $54 million in USD equivalent.
Currently, the Bitcoin Miner Reserve stands at 1.825 million BTC.
#Bitcoin Miner Reserves dropped by more than 2,000 #BTC over the last 24 hours, which suggests miners have sold around $54 million worth of $BTC. pic.twitter.com/wLPYJY7zU2
— Ali (@ali_charts) May 18, 2023
Bitcoin gradually recovers
After the aforementioned 3% drop, the leading digital currency has regained 1.38% of that loss. At the time of this writing, Bitcoin is trading at $26,880 on the Bitstamp exchange.
Arman Shirinyan
Alex Dovbnya
