Dip-buying appears to be in full swing among whales, new data shows, but analysts remain wary on the outlook for the short term.
Bitcoin (BTC) made the most of weekend volatility on June 26 as a squeeze saw BTC/USD reach its highest in over a week.
BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView
“Unusual whale activity” flagged
Just hours from the weekly close, a reversal then set in under $21,500, Bitcoin still in line to seal its first “green” weekly candle since May.
The event followed warnings that volatile conditions both up and down could return during low-liquidity weekend trading. On-chain data nonetheless fixed what appeared to be buying by Bitcoin’s largest-volume investor cohort prior to the uptick.
“Unusual whale activity detected in Bitcoin,” popular analytics resource Game of Trades observed.
“The supply held by entities with balance 1k-10k BTC just saw a huge spike in demand. Let’s watch if the trend confirms.”
An accompanying chart from on-chain analytics firm Glassnode showed shifting up markedly from around the time BTC/USD hit lows of $17,600 this month.
BTC supply held by entities with 1,000-10,000 BTC annotated chart. Source: Games of Trades/ Twitter
As Cointelegraph reported, whales had eagerly purchased BTC below $20,000, forming new support clusters in the process.
CME futures gap looms large
For others, however, conservative views on price action remained the norm.
Cointelegraph contributor Michaël van de Poppe eyed the need to crack $21,600 definitively in order to secure the chances of further upside. Additionally, last week’s closing price of $21,100 on CME Group’s Bitcoin futures could provide a short-term target.
“Standard weekend fake-outs happening and probably ending at CME close at $21.1K for Bitcoin,” he forecast on the day.
“No clear breakout above $21.6K at this point, yet.”CME Bitcoin futures 1-hour candle chart. Source: TradingView
The monthly close was still on course to cement Bitcoin’s worst June on record with monthly losses of almost 33%.
Along with May 2021, this would also be the worst-performing month since before the 2018 bear market bottom, data from on-chain monitoring resource Coinglass confirms.
Bitcoin monthly returns chart (screenshot). Source: Coinglass
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.