19,197 BTC Makes Its Way Out Of Binance, Trigger For Bitcoin Recovery?

Bitcoin

Istanbul, Turkey - April 28, 2022: Human hand putting bitcoin in wallet

A massive amount of 19,197 BTC worth $652 million recently made its way out of Binance all at once, triggering a curious reaction from Bitcoin investors. The timing of the transfer is interesting, as Bitcoin is currently trading in a range and is looking to break the $35,000 resistance level. 

The big question is whether the whale behind the transfer plans to hold or sell, but points to the former.

Massive Amount Of BTC Leaves Binance

Recent data has shown Bitcoin trading volume on crypto exchanges recently hit its highest point since March, as in the overall crypto market. Whale activity, in particular, has grown exponentially. 

Whale transaction tracker Whale Alerts has uncovered various large Bitcoin transactions coming into and going out of cryptocurrency exchanges. Most of these transactions have been BTC exodus into cold or unknown wallets.

According to a post on social media platform X by @WhaleChart, there was a recent significant withdrawal of 19,197 BTC from Binance, the largest cryptocurrency exchange. This massive movement of digital currency has led analysts to speculate about the implications.

Some believe transactions like these signal that whales see bullish things ahead for Bitcoin and want to hold their assets using their own private keys. 

Now, while the whale tracker didn’t provide the transaction address for an in-depth analysis, the transfer was probably into a cold wallet. This is most likely the case as on-chain data points to an ongoing intense buying pressure from the bulls to drive up Bitcoin’s price.

Trigger For Bitcoin Recovery?

When large amounts of BTC are moved off exchanges, it shows that investors are holding their coins long-term. At the time of writing, Bitcoin is trading at $34,611, and its price action is forming a flag in a 4-hour chart timeframe. 

Using the Fib indicator, a breakout above $35,000 puts the next target at $38,000. A more convincing breakout might bring the price of Bitcoin to $40,000. On the other hand, the creation of a lower low below $33,500 would render the flag invalid, and we’d most likely witness a retracement from that point to $31,000. 

However, ongoing buying pressure points to a bullish breakout rather than a bearish breakout. According to Santiment data shared no X by crypto analyst Ali Martinez, Bitcoin whales have purchased over 30,000 bitcoins worth nearly $1 billion within the last five days.

Also, historical data points to an average price jump of 43% in November for Bitcoin. A similar jump in the coming month would see Bitcoin increase to around $48,000.

BTC price at $34,556 | Source: 
Featured image from iStock, chart from Tradingview.com
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