Bitcoin Whale Clusters Show that $61k in the Big Resistance to Beat – CryptoGo!

Bitcoin Whale Clusters Show that $61k in the Big Resistance to Beat

0
This post was originally published on this site

According to latest analysis from Bitcoin whale researchers who monitor big investors, whale clusters formed on key levels have resulted in strong resistance at around $60k-$61k range and strong support @$57k. This shows that despite more than 10 attempts in recent weeks to get above $60k, any change to the status quo between $57k-$60k has largely been resisted and neutralized.

What are Whale Clusters?

Whale clusters are levels between which there was massive whale activity before. A whale cluster support is the price at which whales tend to buy Bitcoin in huge numbers while whale cluster resistance is the amount where the whales tend to sell their cryptocurrency. If the latest price index is close to the cluster resistance rather than support, it means that bulls are trying to overcome it. On the other hand, if the price index is close to the cluster support, in this case $57k, the bears are likely to have the edge according to this mechanism.

These clusters are generally difficult to overcome because it shows the index where there are a lot of sell and buy orders placed by these big investors. So, to overcome these levels, considerable momentum is needed, from either bulls or bears.

Latest Market Activity

Now, if you have been following the markets recently, the price index has largely remained near $59k in recent times and have unsuccessfully tried to overcome the resistance at above $60k but to no avail. Despite these countless failed attempts to subdue the key resistance, according to clustering approach, the balance still tilts in favour of bulls and they might eventually scale this key resistance level.

According to Whalemap, an analytical account reporting on whale trading activity:

$BTC is back. Bouncing perfectly from whale supports so far. This is a good sign: in bear trends, whale resistances work better than supports and vice versa for bull trends. Whale supports are back to business now which means the trend has shifted. April should be quite fun.

However, the same optimism is not shared by all of the trading community. According to one popular trading analyst Byzantine General, the Bitcoin Futures market is quite overheated at the moment and that may result in at least a short-term price tank for the cryptocurrency. So, the rally may continue but a short-term reset to offset the overheated futures market might be necessary to keep the futures heat within manageable levels.

Image source: pixabay.com

Read full article on CryptoUnit.com >>

Original post: Bitcoin Whale Clusters Show that $61k in the Big Resistance to Beat