Yet again China FUD slashed the crypto space and almost all crypto assets were on sale with huge discounts. Bitcoin price slashed from the highs around $52K to as low as $42K in no time. Yet also initiated a recovery and hovered above $47K. Currently, BTC price is on an active moded surging with notable gains. The surge may continue for some more time but later yet another dip may possibly make its way out.
During the recent sell-off, just before the plunge, exchange reserves went high, leverage ratio hit an ATH and whale accumulation ratio also went to its peak. Therefore showcasing a pre-programmed plunge may have taken place. However, a similar event just occurred that could point out yet another plunge may arrive soon.
Whale Alert who reports huge and dubious data, reported a huge USDT transfer from the Tether treasury to Binance exchange. Huge transfers do happen every now and then but a transfer of $98,000,000 from Tether treasury to exchange may implant some assumptions. Binance is the most popular crypto exchange. And shooting up the USDT reserves may point out liquidity flow from other assets towards USDT.
Further, adding more to this suspicion, more than $130 million USDT was transferred from Binance to an unknown wallet. The interesting part is, this transfer took place within minutes of Binance receiving USDT from Tether treasury.
However, the possibilities of these two transactions carrying diverse sources also surface the waters, but the timing which coincides raises suspicion. If in case, both transactions relate to each other, then nothing much is to worry about. But if both have their own origins then a BTC dump could be on its way as the Whales may be getting ready for another dip.
Collectively, misty clouds are circulating around the Bitcoin price rally and would continue for another few days. Moreover, Monday markets will start the trade with a gap in Bitcoin prices on CME. And hence the space may withness a short-term pump, following a notable correction. On the whole, the upcoming week could be pretty much huge for the BTC price as well as the entire crypto space.