Key points:
- Bitcoin extends a 1.6% daily gain as bulls absorb a fresh round of BTC sales from an “OG” whale entity.
- Research indicates accumulation is gaining momentum across the market, echoing the buying patterns seen during April’s price rebound.
- Traders are now watching closely, as BTC’s next moves will be critical to avoiding a “double top” at its all-time high.
Bitcoin broke above $113,000 on Thursday as demand from Asia ignored fresh whale selling.
Bitcoin whale sales fail to push BTC lower
Data from TradingView show BTC/USD climbing 1.6% on the day, reaching highs of $113,365.
The rally liquidated roughly $40 million in crypto shorts over the past four hours, according to CoinGlass, with significant resistance levels looming above.
Meanwhile, a Bitcoin “OG” whale resumed distributing their holdings, transferring 250 BTC ($28.2 million) to Binance, according to X analytics account Lookonchain. This follows a 750 BTC sale the previous day.
Historically, such whale distribution—often involving coins dormant for over a decade—has triggered sharp short-term BTC price declines.
Longtime market analyst Peter Brandt weighed in on the recent whale selling, describing it as a hallmark of “market tops.”
“It represented SUPPLY. Tops in markets are created by SUPPLY or DISTRIBUTION,” he noted in an X post on Wednesday.
However, not all Bitcoin investors are pulling back. Andre Dragosch, European head of research at crypto asset manager Bitwise, highlighted that both retail and institutional accumulation are now at their highest levels since April, following a dip below $75,000.
“Such high levels of accumulation tend to precede major breakouts to the upside,” Dragosch said, citing Bitwise data.
Trader: Bitcoin “double top” risk remains
Brandt took a measured view on BTC’s outlook, noting that BTC/USD must reclaim $117,500 to negate bearish trend-reversal signals.
If it fails, he warned, recent all-time highs could form a “double top,” effectively discounting seven weeks of price action.
A cautionary signal from the Coinbase Premium Index ahead of the Wall Street open suggested Bitcoin bulls are not yet out of the woods.
Data from on-chain analytics platform CryptoQuant showed the Premium in the red on Wednesday, indicating weakening U.S. demand after a strong start to the week.
