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Bitcoin Price Drops Below $63K as Entity Drops $114M in BTC to Binance. What Next?
In the early hours of today, a significant market movement has caught the attention of the cryptocurrency community. A Bitcoin whale or institution dumped $114 million worth of BTC on Binance. Furthermore, this transaction shook the entire market, pushing the price of Bitcoin below $63,000. Furthermore, fears of another sell-off have increased.
Bitcoin Entity Dumps Huge Stash of BTC
According to Arkham Intelligence data, at 1:40 UTC+8, a whale or institution transferred 1,800 BTC, worth $114 million, to Binance. Additionally, this transfer caused the price of Bitcoin to drop from $63,800 to $62,900. Additionally, this entity has been active on the market recently.
Previously, he withdrew 6,725 BTC, worth $437 million, from Binance and OKX. However, in the last five days, he transferred 3,481 BTC worth a whopping $217 million to Binance at an average price of $62,300. Currently, the whale or institution still holds 7,867 BTC, worth about $494 million.
If the BTC price bounces again, the entity could capitalize on the recovered price just like it did today. This could lead to more volatility in the market. In addition, other market participants are also divesting their Bitcoin, raising concerns about further price decline.
Over the past 72 hours, Bitcoin miners have also been selling. They have dumped over 2,300 BTC, worth around $145 million. Furthermore, this increased selling pressure has also contributed to the recent price decline. This sell-off is known as a strategy to limit losses after the fourth Halving event that reduced block rewards from 6.25 BTC to 3,125 BTC.
Additionally, the German government has been liquidating its Bitcoin. On Monday, July 1, it moved over 1,500 BTC. Of these, 400 BTC worth over $25 million were sent to exchanges such as Coinbase, Kraken, and Bitstamp. Since June, the German government’s total BTC sale has reached over 2,700 BTC.
These events have led to increased market activity and volatility. The cumulative effect of whale movements, miner sell-offs, and government liquidations has increased the downward pressure on the price of Bitcoin. Additionally, last month, the United States Government
He also sold a whopping 4,000 BTC, in anticipation of another imminent sell-off.
Read also: Breaking News: German Government Dumps 400 BTC on Major Exchanges, Transfer Rush Continues
What will be the future of the BTC price?
CryptoQuant CEO Ki Young Ju commented on the current market situation. He called the current trend of Bitcoin “boring,” but also called it an “opportunity” to enter the market. In a post on X, he wrote: “Bitcoin market is boring with less volatility. Less interest from both buyers and sellers. Retail exit liquidity not ready. Ideal time for whales to accumulate $BTC. We are still in a bull cycle. Boredom is an opportunity.”
Bitcoin Trends Overview, Source: Ki Young Ju | X
Ki Young Ju’s remarks suggest that the current lack of market volatility could be a period of strategic accumulation for whales. However, despite the recent sell-off, he believes the bull cycle is still intact. Additionally, cryptocurrency analyst Ali Martinez provided further insights.
He noted, “Historically, when #Bitcoin has had a negative June, it tends to bounce back strongly in July. In fact, $BTC has shown an average return of 7.98% and a median return of 9.60% during this month.” Thus, Martinez’s historical analysis implies that despite the June downturn, BTC could see significant gains in July.
Recent actions by large holders, miners, and governments have created a complex market environment. The whale’s move of 1,800 BTC to Binance, coupled with significant sell-offs by miners and governments, have increased selling pressure and volatility.
At press time, the Bitcoin Price fell 0.73% to $62,837.79 on Tuesday, July 2. While the cryptocurrency boasted a whopping market valuation of $1.23 trillion. However, Bitcoin’s 24-hour trading volume hit a whopping $21.75 billion, potentially due to the massive sell-off.
Read also: Breaking News: Metaplanet Boosts Bitcoin Strategy With 10:1 Stock Consolidation Amid Key Shifts