Bitcoin Whale Accumulation Sees a Sharp Spike as Bitcoin Flashes Rare Buy Signal

Bitcoin price continues its consolidation under $35K with strong support at $33K. However, whale addresses holding 1k-10k BTC have registered a sharp spike, indicating a significant spike.

The top cryptocurrency also registered a 5% rise in price over the past 24-hours, rising from a daily low of $32,893 to a daily high of $34,748. BTC has moved in the price range of $30K-$40k for the majority of the past two months after seeing a massive sell-off in the second week of May.

Bitcoin would need to break past $35K immediate resistance before any further move, it managed to do so last week but couldn’t hold onto the gains and fell below the immediate resistance again.

Puell Multiple Metric Flashes Rare 5th Buy Signal

Puell Multiple metrics developed by renowned on-chain strategist David Puell take into account the supply side of Bitcoin along with miner’s revenue, the collective data is then used to form a chart with a scale of 1-10. A value of above 8 is considered a sell signal while a value of 0.5 is considered a buy signal. The current value has dipped below 0.5 level only for the fifth time in the history of Bitcoin.

On all four past occasions, Puell Signal has indicated a market bottom with BTC price rebounding soon after. The Bitcoin whales seem to be following the buy signal at present and more traders could join in soon.

The Wyckoff trade for Bitcoin is also in play as BTC is currently testing the spring after the accumulation phase. Analyst suggests the top cryptocurrency would need to consolidate above $36,000 followed by $38,000 to make a move over $40k again.

A Wyckoff pattern is indicated by a strong accumulation phase with higher lows followed by a spring or popup phase.