IntoTheBlock, a cryptocurrency analytics tool, says that after an enormous decline in the price of cryptocurrencies, a lot of funds has been coming into the most prominent Bitcoin wallets. These major investors bought $436 million worth of BTC on Monday. Together, they control at least 0.1% of all Bitcoins in circulation.
This move by Bitcoin’s so-called “whales” seems to be in line with Warren Buffett’s famous trading rule: buy when everyone else is selling. Bitcoin’s price dropped to $58,456 on June 24 because of disappointing information about returns to creditors from the now-defunct Mt. Gox exchange that were due in July.
Bitcoin Bulls Hold Strong
BTC critic Peter Schiff recently said that the top cryptocurrency would continue to fall. It had already hit its lowest point in almost two months. “Fear” has taken over the cryptocurrency market as a whole, as shown by the Fear & Greed Index, which has dropped to its lowest point since September of last year.
The Relative Strength Index (RSI), which is a popular trend indicator, also shows that BTC is oversold on both the daily and weekly charts right now. Conditions like these have not been observed since Bitcoin was worth $26,000, which suggests that the price might go up again. This situation probably caused big investors to buy more BTC after the price dropped recently.
Bitcoin’s price went up to $62,004 earlier on Tuesday, an increase of over 2.2%. A trader who went by the name Rekt Capital said that BTC has been able to keep the important support level at $60,600, which is the low point of the current range. He thinks that BTC could go back to the top of this range if it stays stable.
Similarly, broker James Stanley saw the $60,000 mark as an important support level, showing how strong BTC bulls are in keeping this level.
