{"id":428758,"date":"2020-06-28T01:00:31","date_gmt":"2020-06-28T01:00:31","guid":{"rendered":"https:\/\/uniquehot.com\/?p=428758"},"modified":"2024-06-11T11:36:33","modified_gmt":"2024-06-11T11:36:33","slug":"bitfinex-whale-buy-bitcoin-high-8000s","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/bitfinex-whale-buy-bitcoin-high-8000s\/","title":{"rendered":"There’s a Bitfinex “Whale” Looking to Buy Bitcoin in the High-$8,000s"},"content":{"rendered":"

It’s been a tough past few days for Bitcoin<\/a>.<\/p>\n

After holding $9,300 for days on end, the cryptocurrency on Saturday slipped under $9,000. The leading cryptocurrency reached a local low of $8,840 on many leading spot and margin exchanges.<\/p>\n

Many traders were caught off guard by this move to the downside.<\/p>\n

At least $20 million worth of longs<\/a> on BitMEX alone were liquidated during this drop. This adds to the approximately $50 million in longs liquidated across the past few days.<\/p>\n

$\"Bitcoin$ <\/p>\n

BTC position liquidation chart for BitMEX from<\/a> crypto derivatives tracker Skew.com<\/pre>\nBuyers seem to be stepping in, though, providing Bitcoin with a boost as it enters a crucial price region.<\/p>\nBitcoin Whale Is Stepping In<\/strong><\/h2>\nAccording to a crypto day trader<\/a>, Bitfinex’s order book data shows that a big buyer (or buyers) is stepping in. He shared the image below to illustrate his point.<\/p>\n
It shows that seemingly a single player or small group of players have stacked Bitcoin buy orders between $8,600 and $8,800. The orders are at such a size that the trader who shared the chart called the entity a “whale.”<\/p>\n
<\/p>\n
Bitcoin price chart with order book dominance bands indicator shared by day trader \"Jonny Moe\" (@Jonnymoetrades on Twitter)<\/pre>\nBitfinex’s order book has a strong track record in predicting Bitcoin’s directionality.<\/p>\n
Below is a chart shared by another trader, but this time with a more macro view of BTC’s price in relation to the Bitfinex order book.<\/p>\n
It shows that many of BTC’s rallies over recent months were preceded by strong buying support per Bitfinex’s order books. Also, each top around $10,000 was marked by strong selling support as per the order book.<\/p>\n
<\/p>\n
This historical precedent suggests that BTC may manage to undergo a relief rally.<\/p>\nWill Eventually Revert to the Downside<\/strong><\/h2>\nDespite the order book data, not everyone is convinced the rally Bitcoin may see will be sustainable.<\/p>\nAs\u00a0reported by NewsBTC previously<\/a>, on-chain analyst Cole Garner noted that BTC\u2019s next \u201cbig\u201d move is likely to be to the downside.<\/p>\n
He backed this sentiment by citing the swelling sell-side pressure from miners, a bearish order book delta on Bitfinex, and institutions having a net short position through the CME’s Bitcoin futures.<\/p>\n
This confluence, Garner explained, will result in Bitcoin dropping to the $7,800-8,200 range.<\/p>\n
\n1\/ I am massively bullish on #Bitcoin<\/a>, but I think the next big move is likely down.@glassnode<\/a> just reported the largest $BTC<\/a> transfer from miners to exchanges in over a year. pic.twitter.com\/Uwj4hHveyx<\/a><\/p>\n
— Cole Garner (@ColeGarnersTake) June 24, 2020<\/a><\/p><\/blockquote>\n