Despite a $19 billion collapse, bitcoin displays astonishing resilience. Intermediary investors remain active in the market. Their recent moves reinforce the idea of a market fund already forming, paving the way for a bullish scenario in the coming weeks.
In brief
- Investors holding between 100 BTC and 1,000 BTC continue to accumulate bitcoin despite the massive liquidation.
- The short-term decline in demand contrasts with upside potential based on history.
Strategic buyers maintain bitcoin’s bullish momentum
Dolphins, who hold between 100 and 1,000 BTC, continued their purchases even after the recent crypto crash. According to a analysis of CryptoQuant, this group has accumulated 907,000 BTC in one year. A considerable volume which supports the long-term structure of the bull market!
These investors play a pivotal role. The fact is that their historical accumulation often precedes periods of recovery. Despite the panic triggered by the massive liquidation, these players did not give in to the pressure. Their strategy therefore suggests a market vision oriented towards the long term, with an anticipation of a gradual recovery in the price of bitcoin.
Immediate demand in decline, but upside potential intact
Certainly, the fundamentals appear solid. However, some short-term indicators call for caution. We are particularly referring to the 30-day average balance of dolphins falling below its moving average. This signals an immediate drop in demand.
However, crypto analysts remain confident. According to them, an increase in open interest from 30% to 40% (as observed on October 10) precedes in 75% of cases an increase in the price of bitcoin over three months. The most optimistic expect an average performance of +25.9%.
Such a context reinforces the hypothesis of a future turnaround, provided that a concrete catalyst materializes. We are mainly referring to inflows linked to Bitcoin ETFs.
For now, BTC is showing an increase of 2% over 24 hours. A modest rebound compared to altcoins:
- World Liberty Financial climbs 13%;
- Solana jumped 5.8%.
In any case, this renewed speculation confirms a return of appetite for risk. If bitcoin manages to stabilize its base, it could once again become the engine of a new bullish wave. File to follow…
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