Bitcoin’s (BTC) recent price action hints at a renewed strength in fighting for higher grounds and whale activity corroborates that.
In particular, Bitcoin whales have accumulated over 100,000 BTC in the past week. This activity draws a spike on the chart, as shown by the expert trader and on-chain analyst Ali Martinez. Martinez reported the increase in Bitcoins held by addresses between 1,000 and 10,000 BTC, worth over $7 billion.
Interestingly, the spike resembles what the market previously saw in early February, before the bull run to above $70,000.
At that time, these whale addresses started accumulating larger amounts of Bitcoin, and the price followed to new all-time highs.
Whale activity from addresses between 1,000 to 10,000 BTC. Source: Ali Martinez (@ali_charts)
Bitcoin price analysis amid whales accumulation
Meanwhile, Bitcoin is trading in a range between $69,400 and $71,500, currently at $70,167, as of writing.
Notably, Bitcoin surged nearly 45% since February 24’s $51,000 to an all-time high of $73,805 on March 14. This happened during the previous whale accumulation.
BTC/USD 4-hour price chart. Source: TradingView (Finbold)
Therefore, analysts expect Bitcoin to increase in price in the following days if whales continue to bag large amounts of the leading cryptocurrency. Moreover, investors expect the Bitcoin block subsidy halving in April to fuel price pumps moving forward.
From a technical analysis perspective, increased short positions open interest may also cause a short squeeze in BTC to around $75,000 per coin, as reported by Finbold on March 26.
However, cryptocurrencies and Bitcoin are highly volatile assets, navigating in an uncertain market. Investors must be cautious and have a solid investment strategy to avoid significant losses.