Analyzing data from China shows that despite the price returning to the $29,300 range, some traders are preparing for another massive selling event after a significant amount of Bitcoin entered the exchanges.
According to Cointelegraph, the latest data from the Glassnode platform confirms that the Bitcoin balance of Binance, the world’s largest exchange by trading volume, has increased by more than 50,000 Bitcoins, equivalent to $1.5 billion, in the past 30 days.
A large share of Binance from the increase in the stock of Bitcoin exchanges
Undoubtedly, with the regular increase in the price of Bitcoin since mid-March, the temptation to sell has increased among short-term and long-term investors.
Although by past standards we haven’t seen any signs of an increase in Bitcoin selling pressure, data from China suggests that trend could easily change.
According to CoinGlass data, Binance’s Bitcoin inventory has increased by 51,000 units over the past 30 days.
Cryptocurrency data also shows that Binance’s Bitcoin inventory has increased by about 100,000 units compared to March 10, when the price of Bitcoin briefly fell to the $20,000 support level.
As big as these numbers may seem, they are small compared to the 22,000 bitcoins that have entered exchange wallets in just the last 7 days.
Binance, with the largest volume of transactions among other exchanges, has only witnessed more than 10 billion dollars of transactions in the last 24 hours; An unexpected event. Other major exchanges have either lost bitcoins or seen their holdings increase slightly.
Data from CoinGlass shows that during the 30 days ending on April 28 (May 8), the exchange’s bitcoin balance has increased by a total of 14,000 units, so that their total balance now reaches 1.919 million bitcoins.
Buyers are trying to restore the price of Bitcoin from the $30,000 level
The behavior of investors in recent weeks has probably increased the pressure on buyers to turn the $30,000 level into support and continue the uptrend.
The high volume of transactions in this range shows that the importance of $30,000 is more than a psychological resistance.
Current liquidation status on exchanges whose data is collected by DecenTrader indicates that $35,000 is a key area for liquidation of short Bitcoin positions.
In part of its analysis, DecenTrader noted that despite the fact that the price of Bitcoin has recovered from its daily lows and is now trading in a range close to $29,500, with continued accumulation at this level, a break above $30,000 is more distant. will be
Examining the ratio of long to short positions shows that the number of short trades is now more than long.
The company noted:
At the same time, the volume of open contracts was close to one billion dollars, which shows that many people are opening short positions at the resistance level of $30,000.