Markets
Bitcoin Price Reaches $67,500 Milestone: What’s Next?
The price of Bitcoin remained stable at the $67,500 support on Saturday, June 1, 2024, as the cryptocurrency market entered the consolidation phase due to delays related to the official launch of Ethereum ETFs.
Bitcoin price has fallen 7% since the approval of the Ethereum ETF
The approval of the Ethereum ETF triggered bullish sentiment and positive media coverage, as it marked a significant milestone for the global cryptocurrency industry. However, a week later, ETH spot ETFs have yet to launch, with fund issuers still making final changes to their infills.
With ETH ETFs on pause, cryptocurrency markets have seen significant swings in investment models and strategies. In particular, ET and specific projects hosted by Etheruem such as memecoins and DeFi protocols have been in high demand, to the detriment of other rival blockchain networks.
Since reaching its monthly peak of $71,954 on May 21, Bitcoin has now fallen by 7%, falling as low as $66,657 in the daily period on May 31. A closer look at the daily chart shows how Bitcoin bulls immediately responded with covering buys to reclaim the $67,500 support territory.
Whale investors are buying Bitcoin’s dip
However, while retail investors appear to be seeking more profitable opportunities within the Ethereum ecosystem, on-chain data shows that whale investors have continued to double down on BTC.
The IntoTheBlock daily large transactions chart below tracks the total number of unique BTC transactions exceeding $100,000 on any given day. This provides real-time information on the level of whale demand built up on Bitcoin during that particular period.
Bitcoin attracted 11,530 whale transactions on May 26, as illustrated in the chart above. But as the price correction phase intensifies, instead of exiting, the Bitcoin whales appear to have increased their demand.
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The latest data from May 31 shows that Bitcoin reached 19,020 whale transactions, reflecting a 65% increase in whale demand, during a period of 7% price declines.
This shows that while the price of BTC has fallen over the past week due to weak retail sentiment, whale investors have capitalized on the low prices to buy the dip.
Bitcoin Price Prediction: $70,000 Rebound Ahead
Bitcoin is trading for $67,600 at the time of writing on June 1, down 7% over the last 10 days. But given the steady increase in demand for whales, Bitcoin price looks set to register a major rebound above the $70,000 mark once market sentiment turns bullish in the days to come.
In terms of key resistance levels to watch, GIOM data from IntoTheBlock shows that BTC price could reach an initial hurdle at the $68,500 level.
As seen above, 1.24 million addresses of existing BTC holders acquired 826,790 BTC at the peak price of $68,658. If holders decide to exit early, Bitcoin’s price could experience downward pressure once it nears the break-even point.
But if the bullish momentum is strong enough to push Bitcoin price above the $68,700 level, an immediate bounce above $70,000 could be on the cards.
On the downside, if the $67,500 support fails to hold, Bitcoin bears could aim for a reversal towards the $65,600 area. But with the growing demand for whales, this scenario currently seems unlikely.
Disclaimer: This content is informational and should not be considered financial advice. The opinions expressed in this article may include the personal opinions of the author and do not reflect the opinion of The Crypto Basic. Readers are encouraged to do thorough research before making any investment decisions. Crypto Basic is not responsible for any financial losses.
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