Bitcoin

Spot

<h2 id="key-points">Key Points</h2>
<ul>
 <li>A market participant’s purchase of 10,000 Bitcoin coins triggered renewed interest in the cryptocurrency.</li>
 <li>Despite a slight drop in price, Bitcoin may struggle to reach $60,000 due to decreased network activity.</li>
</ul>
<p>After a dip in Bitcoin’s price to $54,000 on 9 July, a market participant made a significant purchase of 10,000 coins, worth $540 million.</p>
<p>Analyst Ali Martinez uncovered this information. Following this major acquisition, Bitcoin’s price jumped to $58,000, exemplifying the typical ‘buy the dip’ behavior in the market.</p>
<h2 id="increased-confidence-in-bitcoin">Increased Confidence in Bitcoin</h2>
<p>This behavior is often seen as an indication of a potential price increase, prompting investors to buy at lower prices. However, this was not an isolated incident of Bitcoin buying during this period.</p>
<p>Spot Bitcoin ETFs, which had been experiencing a dry spell, saw an influx, accumulating 3,760 BTC in just three days. This data was provided by Farside Investors. The combination of direct Bitcoin buying and increased ETF exposure suggests a growing confidence in the cryptocurrency.</p>
<p>Despite a slight 0.60% decline in the last 24 hours, Bitcoin’s price was valued at $57,384 at the time of writing. Even with this drop, analysis indicates that the coin’s price could approach $60,000.</p>
<h2 id="understanding-the-iomap-indicator">Understanding the IOMAP Indicator</h2>
<p>This conclusion was drawn from examining the In/Out of Money Around Price (IOMAP) indicator. This metric classifies addresses based on profitability, providing insight into a coin’s support or resistance at any given price.</p>
<p>According to IntoTheBlock, 1.11 million addresses purchased a total of 623,720 BTC between $55,825 and $57,493. These addresses are currently profiting. On the other hand, 701,630 addresses bought 279,210 BTC between $57,565 and $59,233.</p>
<p>If Bitcoin’s price can break through the $59,233-resistance, it may potentially surge past $60,000 in the short term.</p>
<p>However, the price-DAA (Daily Active Addresses) divergence was in negative territory at the time of writing, suggesting that the recent price decline was accompanied by a drop in network activity.</p>
<p>If network activity increases, Bitcoin could slowly rise up the charts and surpass $60,000. However, if selling pressure continues, this forecast may be invalidated. For instance, if Germany, which has been actively distributing Bitcoin, decides to distribute its remaining $1 billion holdings, the cryptocurrency could fall below $58,000 again.</p>

Massive $540M Bitcoin Investment Sparks Potential Surge to $60,000

Table of Contents

CoinEagle.com

Other articles published on Jul 11, 2024

German Government Bitcoin Available Now Less Than $1 Billion Left to Sell

US spot bitcoin ETFs report $147 million in net inflows, extending positive streak to 4 days

ARG Fan Token Soars 70% After Drake’s Bet Loss

Understanding Crypto Market Cycles: Beyond Bitcoin Dominance

Fiat vs. crypto: Argentina leads USDT adoption amidst crippling 276% inflation

The Philippines’ DOJ charges two Russians for alleged involvement in $7 million crypto heist

Join our free newsletter for daily crypto updates!