Bitcoin whales are the center of attention again this week as large transactions flow back to exchanges.
Data from on-chain analytics platform CryptoQuant on 24th Dec shows that relatively, whales are increasing their presence as potential sellers.
According to CryptoQuant’s Exchange Whale Ratio indicator, the proportion of large inflows to exchanges out of total inflows is now at a one-year high.
Inflows sped up significantly as BTC/USD rose to $51,000 overnight on Thursday, and the implication could be that large-volume investors plan to take profits at the top end of Bitcoin’s current range.
“It is better to watch out until BTC breaks $51k levels,” one CryptoQuant analyst cautioned.
“Once we surpass this level next significant resistance will be around $56,8k.”
This rally will fail like all the others
This is a sucker's rally
— ParabolicTrav (@parabolictrav) December 23, 2021
Despite misgivings, Bitcoin managed to preserve its higher levels into Friday, these previously forming a key line in the sand for bullish sentiment to return.