Bitcoin’s price has been struggling to gain momentum post-halving. However, the world’s leading cryptocurrency underwent a significant recovery above $66,000 this week, bringing much-needed optimism after several uneventful weeks.
The current data indicates that the $60,000 price point has become a crucial on-chain support level, backed by new whale accumulation and the stability of long-term holders.
$60,000 Solidifies as Key Bitcoin Support
According to the latest findings of CryptoQuant, new whales – which are defined as addresses holding over 1,000 BTC for less than 6 months – have been amassing bitcoin around the $60,000 level. Thus, they positioned that line as a significant support level on-chain, backed by the influx of institutional investors after the approval of spot Bitcoin ETFs in the US.
The average acquisition cost, or realized price, for these new whales is about $60,000. CryptoQuant said this shows their confidence in entering the market as well as the strength of this price level as a floor for BTC. The additional institutional capital from spot ETFs has provided extra momentum, further validating $60,000 as a critical support zone.
Meanwhile, long-term whales – who have held over 1,000 BTC for more than 6 months – showed a stable realized price. Such stability often reflects these investors’ experienced strategies and low turnover rates, indicating a long-term accumulation approach.
These holders could potentially demonstrate strong confidence in bitcoin’s long-term value, often ignoring short-term market fluctuations. Their stable realized price serves as a benchmark for market stability and long-term support.
“The interaction between new and old whales’ realized prices presents a comprehensive view of market dynamics. The significant accumulation by new whales, bolstered by institutional investment and spot Bitcoin ETF approvals, reinforces the $60,000 support level.
Meanwhile, the stability exhibited by long-term whales provides a foundational layer of confidence and strategic holding patterns.”
Liquidity Flooding In
Another factor that validates the bullish narrative amid the market-wide recovery is the surge in the volume of stablecoins entering the market. Notable upticks in stablecoin inflows have been found to have coincided with bitcoin’s price fluctuations.
Such a trend points to increased liquidity in the market, which is crucial for sustaining the ongoing uptrend.
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