Is Bitcoin a fake head? Chain Analyst will Clemente considers BTC’s growth strength of up to $ 47,000

Renowned Network analyst Clemente will assess the growth power of bitcoin when the leading cryptocurrency rises above $ 47,000.

In a new Clemente release, a chain analyst says crypto whales, or organizations exceeding 1,000 BTC, have accumulated more than $ 5 billion (BTC) of bitcoin in the past few weeks.

“One of the most interesting events in the last 1-2 weeks has been the increase in the assets of legal entities (addresses grouped by forensic data) to more than 1000 BTC (whales)… Since July 27, whales have added 107,150 BTC to their business.”

Source: Will Clemente
Clemente is also investigating the activities of long-term owners trying to determine whether a bitcoin rally over $ 47,000 is a bull trap or a dead cat’s kickback.

January December 2017-January 2018, the cohort of investors shows no behavior like a rebound, with Bitcoin having a lower high of $ 17,000, according to a chain analyst.

“During the dead cat of 2017 (a scenario based on this framework), there was a big sell-off to market participants who did not carry their coins for at least 6 months. They took advantage of liquidity at the first opportunity.

In fact, we are not observing the same behavior at the moment, thus far invalidating the story of a dead cat jumping from a chained perspective. Long-lasting holders are currently sitting tight and holding tight.”

Source: Will Clemente
The chain analyst is also looking for financing ratios and leverage ratios to potentially determine whether traders are actively speculating in bitcoin derivatives and futures markets.

Financing rates and leverage ratios are currently low, according to Clemente, suggesting the rally could be driven by organic buying and selling in spot markets.

“The fact that funding is very low compared to where it was at the same price level in February suggests that this rally is much healthier and more spot on.

Join the Discussion

  • BrokerEUR/USD
    SpreadEX 0.6pips (variable) margin: 3.33%
  • Back to top